Staff Reports
Small businesses in Douglas and Clark counties in Nevada, in 47 California counties and three Arizona counties may apply for low-interest disaster loans from the U.S. Small Business Administration.
These disaster loans offset economic losses and reduced revenues caused by the extremely low temperatures and freezing conditions that occurred from Jan. 6-19, 2007.
Small businesses may qualify for Economic Injury Disaster Loans of up to $1.5 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred.
According to Alfred E. Judd, director of SBA's Disaster Field Operations, eligibility for these working capital loans is based on the financial impact of the disaster only and not on any actual property damage. The loans have an interest rate of 4 percent, a maximum term of 30 years and are restricted to small businesses without the financial ability to offset the adverse impact without hardship.
By law, SBA makes disaster loans available when the U.S. Secretary of Agriculture designates an agricultural disaster. Secretary Mike Johanns declared this disaster at the request of California Gov. Arnold Schwarzenegger.
Business primarily engaged in farming or ranching are not eligible for SBA disaster assistance. Agricultural enterprises should contact the Farm Services Agency about Department of Agriculture assistance made available by the secretary's declaration.
Some of the neighboring California counties affected are El Dorado, Alpine, Placer and Mono.
Information, application forms and a complete list of what counties are available for assistance, go to www.sba.gov/services/disasterassistance or call (800) 659-2955. For the hearing impaired, call (800) 877-8339.
The deadline to apply for these loans is Oct. 1, 2007.
