Wisconsin Ag Connection - SBA Disaster Loans Available in Northern Wisconsin Counties

Wisconsin Ag News Headlines

SBA Disaster Loans Available in Northern Wisconsin Counties
Wisconsin Ag Connection - 03/31/2015

The U.S. Small Business Administration announced that federal Economic Injury Disaster Loans are available to small businesses, agricultural cooperatives and private nonprofit organizations in Florence, Forest, Marinette and Vilas counties in Wisconsin as a result of excessive rain with cooler than normal temperatures beginning last April.

"These counties are eligible because they are contiguous to one or more primary counties in Michigan," said Frank Skaggs, director of SBA's Field Operations Center East in Atlanta. "The SBA recognizes that disasters do not usually stop at county or state lines. For that reason, counties adjacent to primary counties named in the declaration are included."

Under this declaration, the SBA's Economic Injury Disaster Loan program is available to eligible farm-related and nonfarm-related entities that suffered financial losses as a direct result of this disaster. With the exception of aquaculture enterprises, SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers.

The loan amount can be up to $2 million with interest rates of 2.625 percent for private nonprofit organizations and 4 percent for small businesses, with terms up to 30 years. The SBA determines eligibility based on the size of the applicant, type of activity and its financial resources. Loan amounts and terms are set by the SBA and are based on each applicant's financial condition. These working capital loans may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits.

Other Wisconsin Headlines