Federal Help Available for Small Businesses and Nonprofits Affected by Ida’s Flood – First State Update
Small businesses and nonprofits in New Castle County affected by flooding from Hurricane Ida earlier this month are now eligible to apply for an economic disaster loan from the US Small Business Administration (SBA ). Qualifying businesses and nonprofits can benefit from loans of up to $ 2 million.
SBA’s Economic Disaster Loans (EIDLs) are designed to help deal with the temporary loss of income that businesses and nonprofits suffer as a result of the severe flooding caused by Hurricane Ida. Loans can be used for working capital expenses such as payroll, fixed debts and accounts payable, as well as other bills that the business or nonprofit organization is currently unable to pay into. due to the impact of the storm.
“We continue to work with the City of Wilmington, agencies and organizations to provide resources to residents and businesses of Wilmington as part of the clean-up efforts following the flooding caused by Hurricane Ida,” said said Governor John Carney. “We appreciate that the US Small Business Administration has made this economic hardship loan program available to businesses. ”
“The flooding in New Castle County and Wilmington caused by Hurricane Ida was unprecedented and as a result many small businesses were forced to shut down for days and weeks,” said Jordan Schulties, director of the Delaware small business division. “We know that the economic effects of the hurricane can be just as difficult for a small business as the property damage, and these loans can be a lifeline for those business owners who face a significant loss of income. “
The SBA determines loan eligibility based on the size and type of business and its financial resources. The amounts and terms of the loan are set by the SBA and are based on the financial status of each applicant. The loan rates will not exceed 3% and the term of the loans will not exceed 30 years. The deadline for returning claims for economic harm is June 10, 2022.
Small businesses in New Castle County that suffered economic damage from Hurricane Ida are encouraged to review SBA applications and program information on the SBA website. New Castle County received a disaster declaration from the SBA as a contiguous county of Delaware County, Pennsylvania. For this reason, small businesses in New Castle County that apply for an EIDL will need to do so under the Pennsylvania declaration. For assistance applying for an EIDL, businesses should contact the SBA Customer Service Center at 1-800-659-2955 (TTY / TDD: 1-800-877-8339) or by email at [email protected] address.
The SBA also opened a Business Recovery Center in Philadelphia to provide businesses with one-on-one assistance in submitting an economic damage loan application if they were affected by Hurricane Ida. The recovery center is located at the Schuylkill Library Falls at 3501 Midvale Avenue Philadelphia, PA 19129. The center’s hours of operation are noon to 8 pm Monday and Wednesday; from 10 a.m. to 6 p.m. Tuesday and Thursday; and from 10 a.m. to 5 p.m. on Friday. The Business Recovery Center is closed on Saturdays and Sundays. Customer service representatives will be available at the center to answer questions about the disaster loan program and help business owners complete their applications. Due to the ongoing COVID-19 pandemic, the SBA has established protocols to help protect the health and safety of the public. All visitors to the recovery center are encouraged to wear a face mask.