Small Business Administration Extends Physical Disaster Loan Deadline For May Flood Damage
People photograph the flood waters of the Tittabawassee River that encroached on downtown Midland, Michigan on Wednesday, May 20, 2020 (AP Photo / Carlos Osorio)
The US Small Business Administration (SBA) has extended the deadline for businesses of all sizes, private nonprofits, landlords and tenants to apply for a physical disaster loan to September 30, 2020. Anyone in counties in Michigan reported to have suffered physical damage from severe storms and floods from May 16 to 22, 2020 should apply for a low-interest SBA disaster loan.
The disaster declaration covers Arenac, Gladwin, Iosco, Midland and Saginaw counties in Michigan, which are eligible for SBA physical and economic disaster loans. Small businesses and most private non-profit organizations in the following adjacent counties can only apply for SBA Economic Disaster Loans: Alcona, Bay, Clare, Genesee, Gratiot, Isabella, Ogemaw, Oscoda, Roscommon, Shiawassee, Tuscola.
In accordance with health precautions for the coronavirus (COVID-19), the SBA will not establish a field presence to assist survivors. However, SBA will continue to provide customer service and outreach activities virtually with webinars, Skype calls, phone support, and step-by-step application support. As a result, the SBA opened a Virtual Disaster Loan Awareness Center / Business Recovery Center (VDLOC / VBRC) to help survivors apply online using the Electronic Loan Application (ELA ) through the SBA’s secure website at
https://DisasterLoanAssistance.sba.gov/ and virtual customer service representatives are available to help applicants complete the online application.
VDLOC / VBRC information:
Virtual Disaster Loan Assistance Center (VDLOC)
Open: Monday to Sunday (7 days / week)
Hours: 8 a.m. to 8 p.m. Eastern Time
Telephone: (800) 659-2955
These services are only available for Michigan disaster declaration following severe storms and floods from May 16 to 22, 2020, and not for assistance related to COVID-19. Survivors should contact a Disaster Assistance Professional at (800) 659-2955 to make an appointment for immediate individual assistance to complete their request. Inquiries about the SBA Disaster Lending Program can be obtained by email [email protected].
The SBA will conduct a massive awareness campaign to ensure that everyone affected by the disaster has the opportunity to seek help. Businesses and private nonprofits of any size can borrow up to $ 2 million to repair or replace real estate, machinery and equipment, inventory and other business assets damaged or destroyed by a disaster. . Applicants may be eligible for an increase in the loan amount up to 20% of their physical damage, as verified by the SBA for mitigation purposes. Qualifying mitigation upgrades may include a safe room or storm shelter, sump pump, French drain, or retaining wall to help protect the property and occupants from future damage from a similar disaster.
For small businesses, small farmer cooperatives, small businesses active in aquaculture, and most private non-profit organizations, the SBA offers economic disaster loans to help meet the working capital needs caused. by disaster. Economic disaster loan assistance is available whether or not the business has suffered property damage.
Disaster loans of up to $ 200,000 are available to homeowners to repair or replace real estate damaged or destroyed by a disaster. This includes isolated structures and other property improvements, such as wells and septic tanks. Homeowners and tenants are entitled to up to $ 40,000 to repair or replace personal property damaged or destroyed by a disaster.
Interest rates are as low as 3% for businesses, 2.75% for nonprofits, and 1.25% for landlords and tenants with terms of up to 30 years. The amounts and terms of the loan are set by the SBA and are based on the financial status of each applicant.
Applicants can apply online using the Electronic Loan Application (ELA) through the SBA’s secure website at
To be considered for all forms of disaster assistance, applicants should register online at
DisasterAssistance.gov or download the FEMA mobile app. If online or mobile access is not available, applicants should call the FEMA toll-free helpline at 800-621-3362. Those using 711 relay or video relay services should call 800-621-3362.
Businesses and individuals can also obtain information and loan applications by calling the SBA Customer Service Center at 1-800-659-2955 (1-800-877-8339 for the deaf and hard of hearing), or by sending an email [email protected]. Loan applications can also be downloaded from www.sba.gov. Completed applications should be sent to:
US Small Business Administration, Disbursement and Processing Center
14925 Kingsport Road, Fort Worth, Texas 76155.
The deadline for returning property damage claims is September 30, 2020. The deadline for returning economic damage claims is April 9, 2021.