ALEXANDER COUNTY, NC (June 28, 2019) — North Carolina businesses and residents affected by flooding and high winds which began on June 6th can apply for low-interest disaster loans from the U.S. Small Business Administration. The SBA made the loans available in response to a letter from NC Governor Roy Cooper on June 24, requesting a disaster declaration by the SBA. The disaster declaration covers Mecklenburg County and Catawba County, and the adjacent counties of Alexander, Burke, Cabarrus, Caldwell, Gaston, Iredell, Lincoln, and Union in North Carolina, as well as Lancaster and York counties in South Carolina.
An initial damage assessment from the storms during the weekend of June 6th found floods and high winds blocked roads and caused major damage to more than 50 homes and businesses in a 10-county area.
“The SBA is strongly committed to providing the people of North Carolina with the most effective and customer-focused response possible to assist businesses of all sizes, homeowners, and renters with federal disaster loans,” said Christopher Pilkerton, SBA Acting Administrator. “Getting businesses and communities up and running after a disaster is our highest priority at SBA.”
“This declaration is good news for people who need help recovering,” said Governor Cooper.
SBA loans are designed to help home and business owners where insurance does not fully cover the cost of repairs to a home or business. The loans can also be used to reduce the economic injury, or replace machinery, equipment, and inventory loss caused by the storm.
The SBA has established two Disaster Loan Outreach Centers, at which SBA customer service representatives will be available to answer questions about the disaster loan program and help individuals complete their applications.
The centers will be open from July 2-11 at the locations below for affected residents and business owners to submit applications. Hours will be from 9:00 a.m. to 6:00 p.m. on weekdays and 9:00 a.m. to 1:00 p.m. on Saturday. Centers will be closed on Thursday, July 4th and Sunday, July 7th. The centers close at 4:00 p.m. on July 11th.
• Catawba County Disaster Recovery Center: Springs Road Baptist Church, 3580 Springs Rd. NE, Hickory, NC 28601
• Mecklenburg County Disaster Recovery Center: Charlotte Fire Department, 2001 Mt. Holly-Huntersville Road, Charlotte, NC 28214
Applicants may also apply online using the Electronic Loan Application (ELA) via SBA’s secure website at DisasterLoan.sba.gov.
“Businesses and private nonprofit organizations may borrow up to $2 million to repair or replace disaster-damaged or destroyed real estate, machinery and equipment, inventory, and other business assets,” said SBA’s North Carolina Acting District Director Mike Arriola.
For small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private nonprofit organizations, 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.
“Loans up to $200,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible for loans up to $40,000 to repair or replace damaged or destroyed personal property,” said Kem Fleming, Center Director of SBA’s Field Operations Center East in Atlanta.
Applicants may be eligible for a loan amount increase up to 20 percent of their physical damages, as verified by the SBA for mitigation purposes. Eligible mitigation improvements may include a safe room or storm shelter, sump pump, French drain, or retaining wall to help protect property and occupants from future damage caused by a similar disaster.
Interest rates are as low as 4 percent for businesses, 2.75 percent for nonprofit organizations, and 1.938 percent for homeowners and renters with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition.
Businesses and individuals may also obtain information and loan applications by calling the SBA’s Customer Service Center at 1-800-659-2955, or 1-800-877-8339 for the deaf and hard-of-hearing, or by emailing email@example.com. Loan applications can also be downloaded at sba.gov. Completed applications should be returned to the Disaster Loan Outreach Centers or mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The filing deadline to return applications for physical property damage is August 26, 2019. The deadline to return economic injury applications is March 27, 2020.
About the U.S. Small Business Administration
The U.S. Small Business Administration makes the American dream of business ownership a reality. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow, or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.