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Disaster Press Releases

SBA Approves $1 Million in Economic Injury Disaster Loans for Gulf Coast Small Businesses Impacted by the Deepwater BP Oil Spill

SACRAMENTO – The U.S. Small Business Administration to date has approved 27 economic injury disaster loans totaling $1,008,000 for small businesses in the Gulf Coast region, SBA Administrator Karen Mills announced today. Additionally, the agency has granted deferments on 66 existing SBA disaster loans to small businesses and 61 disaster loans to homeowners in the region.
SBA is offering the loans and loan deferment options to fishing and fishing-dependent small businesses as a result of the Deepwater BP oil spill that shut down commercial and recreational fishing waters.

“SBA remains committed to taking every step we can to help small businesses deal with the financial challenges they are facing as a result of the Deepwater BP oil spill,” Mills said. “These businesses are the foundation of local economies in communities along the Gulf Coast and we know these loans and loan deferments can provide the working capital they need right now to keep them in a position to drive economic growth and provide good-paying jobs.”

“While small businesses are encouraged to file claims with BP, these loans and loan deferments can provide critical temporary assistance needed to overcome the loss of revenue they are currently experiencing,” Mills added.

SBA Economic Injury Disaster Loans (EIDL) provide working capital up to $2 million at an interest rate of 4 percent with terms up to 30 years. For loan recipients in the declared parishes, SBA is deferring the first payment on the loan for 12 months.

Small businesses must demonstrate economic injury as part of their loan application. The loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. SBA encourages businesses to also file claims with BP. Borrowers may be required to use any claim payments to help repay these SBA loans.

Eligible small businesses include those engaged in shrimping, crabbing and oyster fishing in the waters affected by the closure (employees or crew members are not small businesses and are not eligible); small businesses dependent on the catching or sale of shrimp, crabs and oysters, suppliers of fishing gear and fuel; docks, boatyards, processors, wholesalers, shippers, retailers and other small businesses dependent on revenue from fishing, recreational and sports fishing small businesses, and coastal small businesses.

In addition, small businesses in areas included in the declaration that are currently repaying an existing SBA disaster loan can request a deferment. For information on seeking a deferment, small business owners may visit a Business Recovery Center or contact SBA’s Customer Service Center at (800) 659-2955.

SBA also is encouraging private lenders to consider, in the areas included in the declaration, deferment relief on a case-by-case basis for small businesses with SBA-guaranteed 7(a) or 504 loans. Small businesses should contact their lender to request deferment consideration.

SBA customer service representatives and Louisiana Small Business Development Center (LSBDC) counselors are available at 12 Business Recovery Centers (BRCs) in Louisiana to meet one-on-one with owners of small businesses that have been affected financially by the disaster, answer questions about SBA’s economic injury disaster loan program, issue loan applications, explain the application process, help each business owner complete their application and close their approved loans

Counselors from LSBDC are also available at each center to provide post-disaster counseling on how to best overcome the effects of the disaster, and a variety of management, financial and marketing assistance, including how to adapt a business model to post-disaster changes in markets, supplier relationships, employee sources and other key factors. These counseling services are free.
The locations, days and times of operations of the BRCs are as follows. No appointment is necessary to meet with any representative. Note: All centers will be closed Monday, May 31 in observance of Memorial Day.

 

JEFFERSON PARISH
Business Recovery Center
LSBDC Greater New Orleans Region
UNO Jefferson Center
3330 N. Causeway, Suite 427
Metairie, LA 70002
Mondays through Fridays
8:30 am - 5 pm
JEFFERSON PARISH
Business Recovery Center
Grand Isle Community Center
The Rotary Room
3811 Highway 1
Grand Isle, LA 70358
Mondays through Fridays
8 am - 5 pm
LAFOURCHE PARISH
Business Recovery Center
South Lafourche Public Library
16241 East Main Street
Cut Off, LA 70345
Mondays through Thursdays
9 am - 6 pm
Fridays
9 am - 5 pm
ORLEANS PARISH
Business Recovery Center
4375 Michoud Boulevard
New Orleans, LA 70129
Mondays through Fridays
8 am - 5 pm
PLAQUEMINES PARISH
Business Recovery Center
St. Patrick’s Church
Family Life Center
28698 Highway 23
Port Sulphur, LA 70083
Mondays through Fridays
9 am - 5 pm
PLAQUEMINES PARISH
Business Recovery Center
Seedco Financial Southeast Louisiana Fisheries Assistance Center
212 Avenue G
(near Belle Chasse Ferry)
Belle Chasse, LA 70037
Mondays through Fridays
9 am - 5 pm
PLAQUEMINES PARISH
Business Recovery Center
Venice Boat Harbor Office
138 Tiger Pass Road
Venice, LA 70091
Mondays through Fridays,
9 am - 6 pm
ST. BERNARD PARISH
Business Recovery Center
Gulf Coast Bank & Trust Company
1801 East Judge Perez Drive
Chalmette, LA 70043
Mondays through Fridays,
9 am - 4 pm
ST. BERNARD PARISH
Business Recovery Center
7801 Hopedale Highway
(near the Breton Sound Dock & Marina)
Hopedale, LA 70085
Mondays through Fridays,
9 am - 6 pm
ST. BERNARD PARISH
Business Recovery Center
Los Islenos Museum
Ducros Museum
1345 Bayou Road
St. Bernard, LA 70085
Mondays through Fridays
9 am - 6 pm
ST. TAMMANY PARISH
Business Recovery Center
1330 Bayou Lane
Trailer 102
Corner of Pennsylvania Avenue and Bayou Lane
Slidell, LA 70460
Mondays through Fridays,
8 am - 5 pm
TERREBONNE PARISH
Business Recovery Center
TPCG Government Tower
8026 Main Street
Houma, LA 70361
Mondays through Fridays
8 am - 5 pm

 

For business owners who are unable to visit a center, they may obtain loan information and application forms by calling SBA’s Customer Service Center at (800) 659-2955, or (800) 877-8339 for the hearing impaired, e-mailing disastercustomerservice@sba.gov, or by visiting SBA’s Web site at www.sba.gov/services/disasterassistance. They may also apply online using the Electronic Loan Application (ELA) via SBA’s secure Web site at https://disasterloan.sba.gov/ela.

The SBA declaration covers the primary Louisiana parishes of Ascension, East Feliciana, Evangeline, Iberia, Jefferson, Lafourche, Livingston, Orleans, Plaquemines, St. Bernard, St. Charles, St. Martin, St. Tammany, Tangipahoa, Terrebonne and Washington; and the neighboring Louisiana parishes of Acadia, Allen, Assumption, Avoyelles, East Baton Rouge, Iberville, Jefferson Davis, Lafayette, Pointe Coupee, Rapides, St. Helena, St. James, St. John the Baptist, St. Landry, St. Mary, Vermillion, West Baton Rouge and West Feliciana. The declaration also covers seven neighboring Mississippi counties: Amite, Hancock, Marion, Pearl River, Pike,Walthall andWilkinson.

The deadline to apply for these loans is February 7, 2011.

SBA Field Operations Center - West, P.O. Box 419004, Sacramento, CA 95841

Release Number: 
LA 12163–04
Release Date: 
Friday, May 28, 2010
Contact: 
Richard Jenkins (916) 735-1500
Related State: 
Louisiana
Field Operations Center: 
West