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SBA Offers Disaster Assistance to Small Businesses Economically Impacted by Alaska Road Closures
Sacramento, CA – The U. S. Small Business Administration (SBA) is making low-interest working capital loans available to small businesses economically impacted by several road closures caused by flooding beginning July 10, SBA Administrator Karen G. Mills said today. These road closures are on the Taylor Highway (between Eagle and Chicken), the Alaska Highway, Tok Cutoff, and Nabesna Road. Administrator Mills acted in response to an August 26 request from Governor Sean Parnell.
The disaster declaration makes SBA disaster assistance available in the Alaska Gateway Regional Educational Attendance Area (REAA), Copper River REAA, Delta/Greely REAA, Fairbanks North Star Borough and Yukon Flats REAA.
“The U. S. Small Business Administration is strongly committed to providing the most effective and customer-focused response possible to assist Alaska’s small businesses with federal disaster loans. We will be swift in our efforts to help these small businesses recover from the financial impacts of this disaster,” said Administrator Mills.
Small, non-farm businesses, small agricultural cooperatives and most private, non-profit organizations of any size may qualify for Economic Injury Disaster Loans (EIDLs) of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred.
“These 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. Disaster loans can provide vital economic assistance to small businesses to help overcome the temporary loss of revenue they are experiencing,” said Karen N. Forsland, SBA’s Alaska District Director.
Eligibility is based on the financial impact of the disaster only and not on any actual property damage. These loans have an interest rate of 4%, a maximum term of 30 years, and are restricted to small businesses without the financial ability to offset the adverse impact without hardship.
“Beginning tomorrow, August 31, SBA disaster personnel will be in the state to issue loan applications, answer questions about SBA’s disaster loan program, explain the application process and help each business owner complete their application,” Forsland continued.
Disaster loan information and application forms are also available from SBA’s Customer Service Center by calling SBA toll-free at (800) 659-2955, emailing email@example.com, or visiting SBA’s Web site at www.sba.gov/services/disasterassistance. Hearing impaired individuals may call (800) 877-8339. Applicants may apply online using the Electronic Loan Application via SBA’s secure Web site at https://disasterloan.sba.gov/ela.
The filing deadline to return economic injury applications is May 27, 2011.
SBA Field Operations Center - West, P.O. Box 419004, Sacramento, CA 95841