SBA Isn’t Just for Businesses; Seeks to Help in Tornado Relief

Bellefontaine, OH – In the wake of the devastating tornadoes that struck on March 14, the U.S. Small Business Administration (SBA) has stepped up to offer low-interest disaster loans to both businesses and residents in Ohio. This comes following a Presidential disaster declaration aimed at providing much-needed relief to affected areas.

​“SBA’s mission-driven team stands ready to help Ohio small businesses and residents impacted by this disaster in every way possible under President Biden’s disaster declaration for certain affected areas,” said SBA Administrator Isabel Casillas Guzman. “We’re committed to providing federal disaster loans swiftly and efficiently, with a customer-centric approach to help businesses and communities recover and rebuild.”

Who Can Get Help?
The disaster declaration covers a wide range of counties, including Auglaize, Crawford, Darke, Delaware, Hancock, Licking, Logan, Mercer, Miami, Richland, and Union. Businesses and residents in these areas can apply for both Physical and Economic Injury Disaster Loans (EIDLs). Additionally, small businesses and most private nonprofit organizations in several adjacent counties in Ohio and Indiana are eligible to apply for EIDLs.

Don’t Wait to Apply
Disaster survivors shouldn’t wait to settle with their insurance company before applying for a disaster loan. The SBA can offer a low-interest loan for the total loss, up to its loan limits, as long as the borrower agrees to use insurance proceeds to reduce or repay the loan. SBA’s Customer Service Representatives are available at the Business Recovery Center (BRC) to assist business owners with their applications, accept documents for existing applications, and provide updates on application statuses.

Loan Details
Businesses and private nonprofit organizations of any size can borrow up to $2 million to repair or replace disaster-damaged or destroyed real estate, machinery, equipment, inventory, and other business assets. Small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private nonprofit organizations can apply for Economic Injury Disaster Loans to meet working capital needs caused by the disaster.

For homeowners, disaster loans up to $500,000 are available to repair or replace disaster-damaged real estate, and up to $100,000 for personal property. Interest rates are as low as 4% for businesses, 3.25% for nonprofit organizations, and 2.688% for homeowners and renters. Loan terms can be up to 30 years, with no interest accruing or payments due until 12 months after the initial disbursement.

Building Back Smarter
Applicants may be eligible for a loan amount increase of up to 20% of their physical damages for mitigation purposes, which could include installing a safe room or storm shelter, sump pump, French drain, or retaining wall to protect property from future disasters.

“The opportunity to include measures to help prevent future damage from occurring is a significant benefit of SBA’s disaster loan program,” said Francisco Sánchez, Jr., associate administrator for the Office of Disaster Recovery and Resilience. “I encourage everyone to consult their contractors and emergency management mitigation specialists for ideas and apply for an SBA disaster loan increase for funding.”

How to Apply
Residents and business owners can apply in person at the Disaster Recovery Center (DRC) and Business Recovery Center (BRC) or online via the MySBA Loan Portal. Here are the details:

FEMA Disaster Recovery Center (DRC):
Galilee Lutheran Church
301 Lincoln Blvd, Russells Point, OH 43348
Hours: Mondays – Saturdays, 7:30 am – 5:00 pm. Closes permanently July 1st at 4:00 pm.

Business Recovery Center (BRC):
Indian Lakes Community Church
120 Orchard Island Road, Russells Point, OH 43348
Hours: Mondays – Fridays, 9:00 am – 6:00 pm, Saturdays, 10:00 am – 2:00 pm. Closes permanently July 1st at 4:00 pm.

Supporting Local Businesses
Even businesses that didn’t sustain physical damage are in the “zone of economic impact” and can experience financial setbacks. The SBA’s EIDL program provides crucial funds to help these businesses stay afloat during the rebuild period. The deadline for applying is February 3rd, 2025, and applications can be submitted in person at the DRC and BRC until July 1st, 2024, or online via the MySBA Loan Portal.
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For more information and to apply for a loan, visit the SBA’s disaster assistance website or contact the Business Recovery Center.