As a result of President Biden’s major catastrophe declaration, California businesses and residents now have low-interest federal disaster loans available, said Isabella Casillas Guzman, administrator of the US Small Business Administration.
The declaration covers Counties Lassen, Nevada, Placer and Plumas as a result of forest fires that began on July 13th.
“SBA is determined to provide California with the most effective, customer-centric response and access to government disaster loans to help businesses and residents affected by this disaster,” said Guzman. “Getting our businesses and communities going again after a disaster is a top priority at SBA.”
In light of public health concerns from the coronavirus pandemic, SBA will set up a Virtual Business Recovery Center starting Thursday, August 26th, to provide personal assistance to business owners. In addition, SBA will also open a Virtual Disaster Loan Outreach Center to help homeowners and tenants. Customer service representatives are available to business owners and individuals to answer questions about SBA’s Disaster Loan Program, explain the application process, and help anyone complete their electronic loan application.
Virtual Business Recovery Center and Virtual Disaster Loan Outreach Center
Monday – Friday (5 days / week)
8:00 a.m. – 8:00 p.m. Eastern Time
Centers closed on Monday September 6th for Labor Day
Businesses of all sizes and private nonprofits can borrow up to $ 2 million to repair or replace damaged or destroyed property, machinery and equipment, inventory, and other operational equipment. SBA can also loan additional funds to businesses and homeowners to cover the cost of improvements to protect, prevent, or minimize the same type of disaster damage in the future.
For small businesses, small agricultural cooperatives, small businesses involved in aquaculture, and most private nonprofits of all sizes, SBA offers economic damage loans to meet the working capital needs caused by the disaster. Economic damage assistance is available to companies regardless of property damage.
Catastrophe loans up to $ 200,000 are available to homeowners to repair or replace property that has been damaged or destroyed. Homeowners and renters are entitled to up to $ 40,000 to repair or replace personal property that is damaged or destroyed.
The interest rates can be up to 2.88 percent for companies, 2 percent for private non-profit organizations, and 1.625 percent for homeowners and tenants with terms of up to 30 years. Loan amounts and terms are determined by SBA and are based on the financial situation of each applicant.
In order to be considered for all forms of disaster relief, survivors must first contact the Federal Emergency Call Center at www.disasterassistance.gov. Applicants can apply online, obtain additional information on disaster relief and download applications at https://disasterloanassistance.sba.gov/. Applicants can also call the SBA Customer Service Center at (800) 659-2955 or email [email protected] More information on SBA Disaster Relief. People who are deaf or hard of hearing can call (800) 877-8339. Completed applications should be mailed to the US Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
Via the US Small Business Administration
The US Small Business Administration is making the American entrepreneurship dream come true. As the single point of contact and voice for small businesses backed by the strength of the federal government, the SBA provides entrepreneurs and small business owners the resources and support they need to start their business, grow, or expand, or escape from a declared disaster . It provides services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.