I wanted to pass along news that local small-business owners who are facing economic hardship during the COVID-19 outbreak are now able to seek relief through the U.S. Small Business Administration’s (SBA) Disaster Loan Assistance Program. Minnesota is now among states where the federal SBA’s low-interest loans are available to cover small-business operating expenses after a disaster declaration was issued.
The Minnesota Department of Employment and Economic Development (DEED) indicates this program can provide low-interest loans of up to $2 million to small businesses and private non-profits. These loans can go toward working capital to meet need including payroll, accounts payable, and fixed debt payments that can’t be paid due to the COVID-19 pandemic.
Long-term repayment options of up to a maximum of 30 years are available at 3.75% interest and at 2.75% interest for non-profits. Businesses can defer payments for the first four months and it is recommended owners apply online at sba.gov/funding-programs/disaster-assistance.
Loans can be directly dispersed within three weeks. Businesses will need to gather their tax statements from last year in addition to providing financial information to show current and expected business losses.
Questions can be directed to the SBA Hotline at (800) 659-2955. More information from Minnesota’s DEED can be found at mn.gov/deed.
Staying in Touch
I remain committed to ensuring our community is represented during this uncertain time. Please continue to reach out to me with any questions or concerns. I can be reached by phone at (651) 296-6746 or via email at firstname.lastname@example.org.