Small businesses and most private nonprofit organizations in the following adjacent counties are eligible to apply only for SBA Economic Injury Disaster Loans: Benton, Cannon, Carroll, Chester, Crockett, Decatur, DeKalb, Dyer, Hardin, Hickman, Houston, Humphreys, Macon, Madison, Montgomery, Robertson, Rutherford, Smith, Trousdale and Williamson in Tennessee, Allen, Calloway, Christian, Fulton, Graves, Hickman, Simpson and Trigg in Kentucky, and New Madrid and Pemiscot in Missouri.
To that effect the State of Tennessee has opened several Resource Centers to Provide Direct Recovery Support to Tornado Survivors. (see website for the latest announcements and openings at https://www.tn.gov/tema/news/2022/1/22/resource-centers-open-tomorrow-to-provide-direct-recovery-support-to-tornado-survivors.html ). According to TEMA Agency and as published on the website the centers opened are listed below.
In our area, resource centers are open in Obion, Weakley and Stewart Counties.
SBA will have Customer Service Representatives available to answer questions about the disaster loan program and assist business owners, homeowners and renters in completing their applications.
The resource centers are open to anyone, from any of the declared counties, impacted in the December 2021 tornado outbreak and needing recovery help.
What Types of Disaster Loans are Available from SBA?
- Business Physical Disaster Loans – Loans to businesses to repair or replace disaster-damaged property owned by the business, including real estate, inventories, supplies, machinery and equipment. Businesses of any size are eligible. Private, non-profit organizations such as charities, churches, private universities, etc., are also eligible. The law limits business loans to $2,000,000.
- Economic Injury Disaster Loans (EIDL) – Working capital loans to help small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period.
- Home Disaster Loans – Loans to homeowners or renters to repair or replace disaster-damaged real estate and personal property, including automobiles.
What are the Credit Requirements?
- Credit History – Applicants must have a credit history acceptable to SBA.
- Repayment – Applicants must show the ability to repay all loans.
- Collateral – Collateral is required for physical loss loans over $25,000 and all EIDL loans over $25,000. SBA takes real estate as collateral when it is available. SBA will not decline a loan for lack of collateral, but requires you to pledge what is available.
What are the Interest Rates?
Interest rates are as low as 2.830% for businesses, 1.875% for nonprofit organizations, and 1.438% for homeowners and renters, with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition.
Did you know?
SBA disaster loans can cover the difference between an insurance settlement and what is needed to fully recover. If a survivor has not settled their insurance claim, SBA will consider making a loan for the total loss up to its loan limits. The insurance settlement will be used to reduce or repay the loan.
FIRST STEP: Register with FEMA at DisasterAssistance.gov or download the FEMA mobile App., or call (800) 621-3362.
SECOND STEP: Apply with SBA for a fiscal damage or economic injury disaster loan related to this disaster TN 17310/17311.
How to apply: In person at one of the opened centers, on-line via SBA’s secure website at https://disasterloanassistance.sba.gov/ela/s/ (Home (sba.gov)), or by mail to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
For more information:
- SBA’s Customer Service Center at 800-659-2955 (For people who are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services.)
- For more information, email disastercustomerservice@sba.gov, or visit SBA’s website at www.SBA.gov.
The disaster declaration covers Cheatham, Davidson, Dickson, Gibson, Henderson, Henry, Lake, Obion, Stewart, Sumner, Weakley, and Wilson counties in Tennessee, which are eligible for both Physical and Economic Injury Disaster Loans from the SBA.
Small businesses and most private nonprofit organizations in the following adjacent counties are eligible to apply only for SBA Economic Injury Disaster Loans (EIDL): Benton, Cannon, Carroll, Chester, Crockett, Decatur, DeKalb, Dyer, Hardin, Hickman, Houston, Humphreys, Macon, Madison, Montgomery, Robertson, Rutherford, Smith, Trousdale and Williamson in Tennessee, Allen, Calloway, Christian, Fulton, Graves, Hickman, Simpson and Trigg in Kentucky, and New Madrid and Pemiscot in Missouri.
The filing deadline to return SBA disaster loan applications for physical property damage is March 15, 2022. The deadline to return economic injury applications is Oct. 14, 2022.
Photo: Disaster office set up at Obion County Public Library. Photo by Danny Jowers/Obion Co. EMA.