The U.S. Small Business Administration Friday reminded Los Angeles business owners and residents that the deadline is Aug. 17 to apply for a federal disaster loan to cover costs related to property damage caused by the civil unrest that began May 26.
Director Tanya Garfield of the U.S. Small Business Administration's Disaster Field Operations Center-West said businesses of all sizes, most private nonprofit organizations, homeowners and renters may apply for SBA federal disaster loans to repair or replace disaster-damaged property.
The SBA can also lend additional funds to help with the cost of improvements to protect, prevent, or minimize the same type of disaster damage from occurring in the future.
The low-interest federal disaster loans are available in Kern, Los Angeles, Orange, San Bernardino, and Ventura counties.
Applicants may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets.
In addition, SBA offers Economic Injury Disaster Loans to small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private nonprofit organizations of any size to help meet working capital needs caused by the disaster.
Economic injury assistance is available regardless of whether the business suffered any property damage. The deadline to apply for an SBA Economic Injury Disaster Loan is March 17.
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Disaster loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible for up to $40,000 to repair or replace damaged or destroyed personal property, according to the U.S. SBA.
Interest rates can be as low as 3% for businesses, 2.75% for private nonprofit organizations, and 1.25% for homeowners and renters with terms up to 30 years. Loan amounts and terms are set by SBA and are based on each applicant's financial condition.
Applicants may apply online, receive additional disaster assistance information, and download applications here. Applicants may also call the SBA's Customer Service Center at 800-659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance.
People who are deaf or hard of hearing may call 800-877-8339. Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX, 76155.
