SBA Stands Ready to Assist Illinois Residents Affected by Severe Storms and Flooding

WASHINGTON--(BUSINESS WIRE)--Following the announcement of the Presidential disaster declaration in Illinois for several counties affected by severe storms and flooding on July 22 to August 7, 2010, Administrator Karen G. Mills of the U.S. Small Business Administration issued the following statement: “The U.S. Small Business Administration is strongly committed to providing the most effective and customer-focused response possible to assist homeowners, renters, and businesses of all sizes with federal disaster loans. Getting our businesses and communities up and running after a disaster is our highest priority at SBA.”

“The U.S. Small Business Administration is strongly committed to providing the most effective and customer-focused response possible to assist homeowners, renters, and businesses of all sizes with federal disaster loans. Getting our businesses and communities up and running after a disaster is our highest priority at SBA.”

The disaster declaration covers Carroll, Cook, DuPage, Jo Daviess, Ogle, Stephenson and Winnebago counties in Illinois which are eligible for both Physical and Economic Injury Disaster Loans from the SBA. Small businesses and most private, non-profit organizations in the adjacent counties of Boone, DeKalb, Kane, Kendall, Lake, Lee, McHenry, Whiteside and Will in Illinois; Lake in Indiana; Clinton, Dubuque and Jackson in Iowa and Grant, Green, Lafayette and Rock in Wisconsin are eligible to apply only for SBA Economic Injury Disaster Loans.

Disaster loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible up to $40,000 to repair or replace damaged or destroyed personal property.

Businesses and non-profit organizations of any size may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory, and other business assets. SBA can also lend additional funds to help with the cost of making improvements that protect, prevent or minimize the same type of disaster damage in the future.

For small businesses, and most private, non-profit organizations of all sizes, the SBA offers Economic Injury Disaster Loans to help meet working capital needs caused by the disaster. Economic Injury Disaster Loan assistance is available regardless of whether the business suffered any physical property damage.

Interest rates are as low as 2.5 percent for homeowners and renters, 3 percent for non-profit organizations and 4 percent for businesses with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition.

To be considered for all forms of disaster assistance, victims must first call the Federal Emergency Management Agency (FEMA) at 800-621-FEMA (3362). Additional details on the locations of Disaster Recovery Centers and the loan application process can be obtained by calling the SBA Customer Service Center at 800-659-2955 or by e-mailing our customer service center at [e-mail].

Victims may apply for disaster loans from SBA’s secure website at https://disasterloan.sba.gov/ela/.

The filing deadline to return applications for physical property damage is October 18, 2010. The deadline to return economic injury applications is May 19, 2011.

For more information about the SBA’s Disaster Loan Programs, visit our website at www.sba.gov.

Release Number: 10-656, IL12290/12291