Areas Impacted by Hurricane Sandy Can Apply for Small Business Loans

ATLANTA – The U.S. Small Business Administration’s (SBA) electronic loan application (ELA) is the easiest way for businesses to apply for a disaster loan for Hurricane Sandy damages in New York. The ELA provides a convenient alternative to visiting a Disaster Recovery Center or mailing in a paper loan application. The program checks for errors, prompts for more information when needed and provides a quicker decision than the hand-written applications.

“We want everyone impacted by Hurricane Sandy to take advantage of the federal programs that are available to help them with their uninsured losses. In times of disasters, SBA provides low-interest disaster loans to fund repairs to homes, personal property and businesses losses. As a result of registering with FEMA, many homeowners and renters are referred to SBA even though they do not own a business. There is no cost to apply and there is no obligation to take the loan if it is offered. However those that do not submit their SBA disaster loan applications may limit their recovery options and the opportunity to be referred to other agencies,” said Jorge Silva-Puras, SBA Regional Administrator.

The disaster declaration covers the counties of Bronx, Kings, Nassau, New York, Queens, Richmond, Suffolk and Westchester in New York, which are eligible for both Physical and Economic Injury Disaster Loans from the SBA. Small businesses and most private non-profit organizations in the following adjacent counties are eligible to apply only for SBA Economic Injury Disaster Loans: Fairfield in Connecticut; and Bergen, Hudson and Passaic in New Jersey.

Disaster home and business loans are available to repair disaster damaged real estate and replace damaged contents. Economic Injury Disaster Loans are available for small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private non-profit organizations of all sizes having difficulties meeting operating expenses because of the disaster. Interest rates are as low as 4 percent for businesses, with maximum up to 30-year repayment terms.

The filing deadline to return applications for physical property damage is December 31, 2012. The deadline to return economic injury applications is July 31, 2013.