Small Business Administration Loan information
ALBUQUERQUE (KSMX)- In the wake of the COVID-19 pandemic, we understand the strain local businesses are under. To answer any questions about any financial help, we have reached out to the SBA department in Alb. to really information about small business loans.
According to John Garcia, District Director New Mexico District Office U.S. Small Business Administration, “As of now…all counties throughout NM qualify”. The SBA continues to assist small businesses with accessing federal resources, such as working capital loans and counseling, and navigating their preparedness plans through our network of 68 District Offices and numerous Resource Partners located around the country.
Garcia also encouraged business owners to apply on-line at SBA.gov/disaster.gov and if anyone has any questions to please contact him via email at john.garcia@sba.gov<mailto:john.garcia@sba.gov or call (505) 248-8238.
Below is information from the department on loans and how to apply:
The SBA provides disaster assistance loans to those affected states or territories following a declared disaster. “Once a Governor makes a formal request to SBA certifying that at least five small businesses in a designated area have suffered substantial economic injury as a result of the Coronavirus, the SBA will quickly review the request and if the Administrator then issues an Economic Injury Disaster Loan (EIDL) declaration, the agency will be able to provide Economic Injury Disaster Loans of up to $2 million per small business.”
- The U.S. Small Business Administration is offering low-interest federal disaster loans for working capital to small businesses in designated areas suffering substantial economic injury as a result of the Coronavirus (COVID-19). Upon a request received from a state’s or territory’s Governor, SBA will issue under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, and Economic Injury Disaster Loan declaration.
- SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance per small business and can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
- 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. The interest rate is 3.75% for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible. The interest rate for nonprofits is 2.75%.
- SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay. All loans over $25,000 must be secured with available collateral. SBA will not decline a loan if you do not have enough collateral as long as it is reasonably sure you can repay your loan.
- For additional information, please contact the SBA disaster assistance customer service center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or e-mail disastercustomerservice@sba.gov.
Visit SBA.gov/disaster for more information.
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