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FAQs Help Contact Us Register Login Search Loan Information Declarations Apply Online Disaster Loan Assistance Federal Disaster Loans for Businesses, Private Nonprofits, Homeowners, and Renters

Economic Injury Disaster Loans If you have suffered substantial economic injury and are one of the following types of businesses located in a declared disaster area, you may be eligible for an SBA Economic Injury Disaster Loan (EIDL): Small Business

Small agricultural cooperative

Most private nonprofit organizations

Loan Amounts and Use Substantial economic injury means the business is unable to meet its obligations and to pay its ordinary and necessary operating expenses. EIDLs provide the necessary working capital to help small businesses survive until normal operations resume after a disaster.

The SBA can provide up to $2 million to help meet financial obligations and operating expenses that could have been met had the disaster not occurred. Your loan amount will be based on your actual economic injury and your company's financial needs, regardless of whether the business suffered any property damage.

Eligibility and Terms The interest rate on EIDLs will not exceed 4 percent per year. The term of these loans will not exceed 30 years. The repayment term will be determined by your ability to repay the loan.

EIDL assistance is available only to small businesses when SBA determines they are unable to obtain credit elsewhere.

A business may qualify for both an EIDL and a physical disaster loan. The maximum combined loan amount is $2 million.

How to Apply You can apply online for an SBA disaster assistance loan.

You must submit the completed loan application and a signed and dated IRS Form 4506-T giving permission for the IRS to provide SBA your tax return information.

For additional information, please contact the SBA disaster assistance customer service center. Call 1- 800-659-2955 (TTY: 1-800-877-8339) or e-mail [email protected].

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FAQs Help Contact Us Register Login Search Loan Information Declarations Apply Online Disaster Loan Assistance Federal Disaster Loans for Businesses, Private Nonprofits, Homeowners, and Renters

Frequently Asked Questions How do I begin the loan application process?

Homeowners and Renters: Submit a completed loan application and a signed and dated IRS form 4506-T giving permission for the IRS to provide SBA your tax return information. Businesses in addition to the application and the IRS Form 4506-T we will also need current information such as a personal financial statement, a schedule of liabilities and a copy of your most recently filed Federal income tax return. Additional information may be required depending on individual circumstances.

I have registered with the Federal Emergency Management Agency (FEMA) and was referred to the U.S. Small Business Administration (SBA). I don’t have a small business, so why do I need to apply to SBA?

For disaster damage to private property that is not fully covered by insurance, the basic form of Federal disaster assistance is an SBA disaster loan. SBA is the primary source of Federal money for long-term disaster recovery. Non-farm businesses (including rental properties) of all sizes as well as homeowners, and renters, whose property was damaged as a result of a declared disaster, should apply for a low-interest SBA disaster loan.

I have already received money from FEMA. Does that mean I still need to apply to SBA for a disaster loan?

If your home was destroyed or was not habitable, you may have received money to pay for temporary accommodations elsewhere. If your home was not livable, you may have received money to pay for essential repairs so you could stay there. In both cases, FEMA funds were not intended to pay for all the costs of repairing your damaged home, or for replacing your personal property. SBA disaster loans are available to cover the amount of your repair costs that have not already been fully compensated.

I don’t think I can afford a loan. Why should I apply?

If you are a homeowner or renter and SBA determines you cannot afford a loan, SBA will automatically refer you to FEMA’s Other Needs Assistance (ONA) program. The FEMA program is a safety net available only to individuals and families, and is not available to businesses. It is intended to help meet essential needs not met by any other form of assistance, including SBA disaster loans. Please note that if you were referred to SBA for assistance and do not complete the SBA loan application you cannot be referred to FEMA even if SBA were to determine you cannot qualify for a loan.

Should I wait for my insurance settlement before I file my loan application?

No. Do not miss the filing deadline by waiting for an insurance settlement. SBA can approve a loan for the total eligible losses within the administrative guidelines and later adjust the loan eligibility or balance if insurance funds are received.

How much can I borrow?

The amount SBA will lend depends on the cost of repairing or replacing your business and business contents or home and personal property, minus any insurance settlements or grants. SBA may send an inspector to estimate the cost of your damage once you have submitted your loan application. Renters and homeowners alike may borrow up to $40,000 to repair or replace personal property. Homeowners may apply for up to $200,000 to repair or replace their disaster damaged residence. Businesses of all sizes may apply for a Physical Disaster Loan and small businesses, small agricultural cooperatives and private non-profit organizations may be eligible for economic injury. These loans could not exceed $2 million to repair or replace damaged property or economic injury. SBA can also lend additional funds up to 20 percent of the verified losses to help make improvement to the property (both real and contents) that protect, prevent or minimize the same type of disaster damage from occurring in the future (mitigation).

What is the interest rate and how long do I have to pay off this loan?

The interest rate on these loans is determined by law. SBA assigns an interest rate to a loan based on the resources available to an applicant. The lower interest rate will not exceed 4 percent and the interest rate associated with current market rate will not exceed 8 percent. The rates are fixed for the term of the loan. Please refer to the Fact Sheet link for the declared disaster for which you are applying.

Is collateral required for these loans?

Loans which exceed $25,000 must be secured to the extent possible. SBA will not decline a loan if you don’t have enough collateral, but will ask for whatever collateral is available which may include real estate owned by a business’ principals. We may also take a lien on the damaged residential property.

SBA.gov 3-Step Loan Process FEMA Disaster Assistance SBA Disaster Assistance Loans

Business Disaster Loans — up to $2 million* SBA disaster loans are available to businesses, regardless BUSINESSES & NONPROFITS of size, and nonprofits including charitable organizations such as churches and private universities.

Borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets. Loans may also be used for structural improvements such as adding a retaining wall or sump pump, clearing out overgrown landscaping, building a safe room or elevating the property to lessen the effect of future disasters.

Economic Injury Disaster Loans — up to $2 million* When Disaster Strikes These loans are for small businesses, agricultural Even with the best preparedness planning, a disaster cooperatives, aquaculture enterprises and nonprofits can affect your business. But rest assured, the U.S. Small affected by disaster to help meet working capital needs or Business Administration (SBA) offers two low-interest normal business operating expenses through the recovery loans designed to help you get up and running again period. Businesses are eligible for these loans regardless as quickly as possible. of whether or not they have suffered property damage. *The maximum loan for any combination of property damage and/or economic injury is $2 million.

How to Get Started 1 2 3

Apply for an SBA Loan The Application Process Loan Decision disasterloan.sba.gov/ela After an initial credit check, an SBA loss If approved, SBA contacts applicants to verifier estimates the total cost to repair discuss the loan. Find Disaster Recovery Centers at or replace your damaged property. sba.gov/disaster. A case manager assists with closing the An SBA loan officer reviews applications loan and scheduling disbursements. (800) 659-2955 or TTY (800) 887-8339 and guides applicants through the process. to request an application.

All SBA programs and services are extended to the public on a nondiscriminatory basis. mcs-0125 (11/2018) The Three Step Process: Disaster Loans

About Disaster Loans The U. S. Small Business Administration (SBA) provides low-interest, long-term disaster loans to businesses of all sizes, private non-profit organizations, homeowners, and renters to repair or replace uninsured/underinsured disaster damaged property. SBA disaster loans offer an affordable way for individuals and businesses to recover from declared disasters.

STEP 2: STEP 3: STEP 1: Property Verified and Loan Closed and Apply for Loan Loan Processing Funds Disbursed Decision Made

 Apply: 1) online; 2) in-person at a disaster center;  SBA reviews your credit before conducting  SBA will prepare and send your Loan Closing or 3) by mail. an inspection to verify your losses. Documents to you for your signature.  Apply online at the SBA’s secure website  An SBA verifier will estimate the total  Once we receive your signed Loan Closing disasterloan.sba.gov/ela. physical loss to your disaster damaged Documents, an initial disbursement will be  As a business of any size, you may borrow up to property. made to you within 5 days: $2 million for physical damage.  A loan officer will determine your eligibility  Physical damage:  As a small business, small agricultural during processing, after reviewing any  $25,000 cooperative, small business engaged in insurance or other recoveries. SBA can make  Economic injury (working capital): a loan while your insurance recovery is aquaculture, or private non-profit organization  $25,000 (In addition to the Physical pending. you may borrow up to $2 million for Economic damage disbursement) Injury.  A loan officer works with you to provide all  A case manager will be assigned to work with  As a small business, you may apply for a the necessary information needed to reach a you to help you meet all loan conditions. They maximum business loan (physical and EIDL) of loan determination. Our goal is to arrive at a will also schedule subsequent disbursements $2 million. decision on your application within until you receive the full loan amount. 2 - 3 weeks.  As a homeowner you may borrow up to  Your loan may be adjusted after closing due  A loan officer will contact you to discuss the $200,000 to repair/replace your disaster to your changing circumstances, such as loan recommendation and your next steps. damaged primary residence. increasing the loan for unexpected repair You will also be advised in writing of all loan  As a homeowner or renter, you may borrow up costs or reducing the loan due to additional decisions. to $40,000 to repair/replace damaged personal insurance proceeds. property.

For more information or to find a local disaster center, contact SBA’s Customer Service Center at 1-800-659-2955 (TTY: 1-800-877-8339). sba.gov/disaster August 2018 v1 Required Documentation

The following documents are required to process your application and reach a loan decision. Your Loan Officer and Case Manager will assist you to ensure that you submit the proper documentation. Approval decision and disbursement of loan funds is dependent on receipt of your documentation.

BUSINESSES HOMEOWNERS AND RENTERS  Business Loan Application (SBA Form 5) completed and signed by business  Home Loan Application (SBA Form 5c) completed and signed by Applicant applicant. and Co-Applicant.  IRS Form 4506-T completed and signed by Applicant business, each  IRS Form 4506-T completed and signed by Applicant and Co-Applicant. principal owning 20% or more of the applicant business, each general partner or managing member and, for any owner who has more than a 50% ownership in an affiliate business. (Affiliates include business parent, subsidiaries, and/or businesses with common ownership or management).  Complete copies, including all schedules, of the most recent Federal income APPLY FOR ASSISTANCE AT tax returns for the applicant business; an explanation if not available. disasterloan.sba.gov/ela  Personal Financial Statement (SBA Form 413) completed, signed and dated by the applicant (if a sole proprietorship), each principal owning 20% or more of the applicant business, each general partner or managing member.  Schedule of Liabilities listing all fixed debts (SBA Form 2202 may be used). ADDITIONAL INFORMATION THAT MAY BE NECESSARY TO PROCESS YOUR APPLICATION:  Complete copies, including all schedules, of the most recent Federal income tax returns for each principal owning 20% or more of the applicant Or Call business, each general partner or managing member, and each affiliate 1-800-659-2955 (SBA Customer Service Center) when any owner has more than a 50% ownership in the affiliate business. Affiliates include, but are not limited to, business parents, subsidiaries, and/or other businesses with common ownership or management. 1-800-877-8339 (TTY: Deaf and Hard-of-Hearing)  If the most recent Federal income tax return has not been filed, a year-end profit and loss statement and balance sheet for that tax year is acceptable.  A current year-to-date profit and loss statement.  Additional Filing Requirements (SBA Form 1368) providing monthly sales figures.

For more information or to find a local disaster center, contact SBA’s Customer Service Center at 1-800-659-2955 (TTY: 1-800-877-8339). sba.gov/disaster August 2018 v1 Disaster Loan Assistance.pdf Saved to Dropbox • Mar 12, 2020 at 1:30 PM

FAQs Help Contact Us Register Login Search Loan Information Declarations Apply Online Disaster Loan Assistance Federal Disaster Loans for Businesses, Private Nonprofits, Homeowners, and Renters

Password Login Register Reset Disaster Loan Assistance - Login Notice - Terms of Use This is a Federal computer system and is the property of the *User Name United States Government. It is for authorized use only. Users User Name (authorized or unauthorized) have no explicit or implicit expectation of privacy in anything viewed, created, *Password downloaded, or stored on this system, including e-mail, Internet, and intranet use. Any or all uses of this system Password (including all peripheral devices and output media) and all files on this system may be intercepted, monitored, read, captured, Login ► recorded, disclosed, copied, audited, and/or inspected by System Requirements authorized Small Business Administration (SBA) personnel, the Office of Inspector General (OIG), and/or other law The recommended browser is Internet enforcement personnel, as well as authorized officials of other Explorer 10 or later. • If you have dial-up Internet service, you agencies, both domestic and foreign. may experience delays. • You must have cookies and JavaScript Access or use of this computer system by any person, whether enabled.• You should allow pop-up messages. authorized or unauthorized, constitutes consent to such • You must have Adobe Reader installed. interception, monitoring, reading, capturing, recording, disclosure, copying, auditing, and/or inspection at the discretion of authorized SBA personnel, law enforcement personnel (including the OIG), and/or authorized officials of other agencies, both domestic and foreign. Unauthorized use of, or exceeding authorized access to, this system is prohibited and may constitute a violation of 18 U.S.C. § 1030 or other PLEASEFederal laws NOTE: and Yourregulations responses and tomay the result requested in criminal, information civil, areand/or required administrative in order action. to obtain By continuinga benefit underto use ourthis Disastersystem, Loanyou indicate Program. your However, awareness you of, are and not consent required to, to these respond terms to anyand collection conditions of and information acknowledge unless that it displays there isa nocurrently reasonable valid OMBexpectation control ofnumber. privacy in the access or use of this computer system.

SBA.gov 3-Step Loan Process FEMA Disaster Assistance