Sep. 14—PLATTSBURGH — Help is now available to small businesses in Clinton and Essex Counties that suffered any economic injuries from the Vermont flooding in July.
U.S. Small Business Administration (SBA) Public Affairs Specialist, Jim Accurso, said low interest Economic Injury Disaster Loans (EIDL) are currently being offered through the SBA for any businesses that qualify.
"We offer these programs that a lot of folks aren't aware of," Accurso said.
"So, this is one of them: a disaster loan to get yourself back up on your feet ... Typically with a disaster, up to a quarter of businesses don't recover."
DEADLINE TO APPLY
According to the SBA, EIDLs are categorized as "working capital loans to help small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period."
"So if there was a business there in Plattsburgh that normally relies on clients from Vermont," Accurso explained, "or goes to Vermont to conduct business, and they couldn't because of the flooding ... or Vermonters were hampered from getting over to Plattsburgh or tourism drove their business or they had a catering business ... any business that had a shortfall due to the flooding could apply for the economic injury disaster loans."
The deadline to apply for an EIDL is April 15, 2024.
DEFFERED INTEREST FREE
Accurso said this deadline gives business owners time to evaluate whether or not they experienced a hit to their financials during that flooding time period.
"That first year is deferred interest free," he said.
"So there's no accrued interest and no payments due until month 13 after they actually signed the paperwork."
For businesses and small agricultural cooperatives, EIDLs have a 4% interest rate. For non-profit organizations, the interest is 2.375%.
Accurso said there is also no fee to apply for an EIDL.
"And there's no obligation to take a loan if they were offered it," he said.
"First payouts, if all their paperwork is in order, could be within four weeks. So the EIDL loan is up to $2 million dollars. and the first payout of $25,000, they could have, if they have everything in order, within four to five weeks as we strive for."
Applications and more information on the EIDLs can be found at https://disasterloanassistance.sba.gov/ela.