Information from Brittney Buchanan, executive director of the Lakeland Area Chamber of Commerce, and Mick Wright, Shelby County commissioner:
The U.S. Small Business Administration (SBA) has approved Tennessee’s request for Economic Injury Disaster Loan assistance. Governor Bill Lee announced Friday (3.20.20) that Tennessee received the declaration in response to a request submitted March 18th.
Small businesses can now apply for loans up to $2 million to help meet financial obligations and operating expenses.
Applicants may apply online, receive additional disaster assistance information and download applications at www.sba.gov/disaster. Applicants may also call SBA’s Customer Service Center at 800-659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance.
Interest rates for the loans are 3.75% for small businesses and 2.75% for nonprofit organizations. The loans can be used to pay fixed debts, payroll, accounts payable or other bills that can’t be paid due to the disaster’s impact.
The SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.
More than 94 percent of Tennessee’s private sector business establishments have fewer than 50 employees. This represents 151,500 businesses that employ over one million Tennesseans.
From Gov. Bill Lee: “I applaud the efforts of the SBA in swiftly processing and approving Tennessee’s request for Economic Injury Disaster Loan assistance,” Lee said. “Small businesses and nonprofits across the state are suffering greatly in the wake of this pandemic, and these loans will help overcome the temporary loss of revenue companies are experiencing during this difficult time.”
