The SBA has launched new programs to help small businesses to overcome the effects of harsh environmental conditions. The programs are going to help companies work together for growth.
Low interest disaster loans have been made available by U.S Small Business Administration in 39 Kansas and other neighboring counties. Eligible non-farm businesses will receive the loan support in Kansas, Missouri and Oklahoma counties. The entire region experienced traumatic weather conditions with recent drought, high winds and excessive heat. Small businesses operating in these counties witnessed major economic losses and the loans are meant to offset some losses.
The eligibility criteria for the loans are based on financial impact that disasters had on a company. Interest rate for loans is 4 percent for businesses and it is kept 3 percent for private non-profit organizations. The loans are made for a maximum span of 30 years and are available to small businesses and private non-profits.
SBA is also in the process of launching a five-year pilot program that is going to encourage small businesses join hands and work collaboratively in the area of job creation. SMBs can also work together to secure federal contracts, expand business and hire new employees. There are also grants available for purposes of training, mentoring and counseling. These funds are going to help SMBs intensify collaboration on joint ventures and create mentor-protege relationships to help develop sustained entrepreneurial relationships.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to firstname.lastname@example.org