The SBA recently declared the availability of disaster loans in Kentucky along with adjacent counties in the State of Indiana. The Federal Economic Injury Disaster Loans (EIDLs) are now available in counties such as Clark, Harrison, Dearborn, Ohio, Floyd, Jefferson and Switzerland. All of them are located in the State of Indiana.
Small businesses and Small agricultural cooperatives of all sizes can apply for loans as a result of drought like conditions in the counties mentioned. SBA recognizes that disasters is not confined within state or county lines. So, counties that are adjacent to the primary natural disaster zone cannot be excluded and have to be included in the disaster declaration.
The SBA’s Economic Injury Disaster Loan program is available to farm-related and non-farm related entities. As these entities suffered financial losses due to the drought conditions so they are given EIDLs without exceptions. The loan amount can range up-to $2 million having an interest rate of 3 percent for nonprofit organizations and 4 percent for small businesses.
Eligibility for EDIL is determined by SBA based on business applicant’s size, its financial resources, and type of its business. The SBA also sets the loan amount and terms. They are based on an applicant’s financial condition.
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 email@example.com