Johnson County businesses given extra month to apply for up to $ 2 million in SBA loans
Johnson County businesses will have one more month to apply for low-interest loans of up to $ 2 million from the US Small Business Administration.
County businesses were initially eligible for economic disaster loans due to President Donald Trump’s declaration of disaster on August 17, with applications due on May 20, 2021.
Following the October 20 designation by U.S. Secretary of Agriculture Sonny Perdue of an agricultural disaster, that deadline has been extended to June 21, 2021.
The loans – which aim to “compensate for economic losses due to the drop in income caused by the derecho” – can last up to 30 years at an interest rate of 3% for businesses and 2.75% for non-profit organizations.
“Eligibility for these loans is based solely on the financial impact of the disaster and not on actual property damage,” noted Tanya Garfield, director of the SBA West Field Disaster Operations Center, in a report. Press release.
Garfield said the loans are available to businesses either directly affected directly by the derecho or “dependent on farmers and ranchers who have suffered losses in agricultural production” as a result of the derecho.
Pastoralists and farmers have to go through the Farm Service Agency, not the SBA.
Linn County, Johnson County and several other counties in Eastern Iowa are already eligible for similar low interest SBA loans for property damage because of the presidential statement. These requests are due November 2.
Applications are available on catastropheloanassistance.sba.gov.
Comments: (319) 398-8394; [email protected]
Johnson County’s eligibility comes after U.S. Agriculture Secretary Sonny Perdue declared an agricultural disaster on October 20. (Rebecca F. Miller / The Gazette)