Ohio, PA Businesses, Nonprofits Eligible for SBA Disaster Loans

YOUNGSTOWN, Ohio — The U.S. Small Business Administration has approved applications from the states of Ohio and Pennsylvania to qualify for the Economic Injury Disaster Loan program as a result of the COVID-19 pandemic.

The loans are available for businesses in all counties in both states.

Ohio’s approval was announced Thursday afternoon in a joint email from U.S. Sens. Rob Portman, R-Ohio, and Sherrod Brown, D-Ohio, that “applauded SBA Administrator Jovita Carranza’s swift approval of Ohio’s application.”

Carranza’s action means that small businesses and nonprofits in Ohio can now apply for up to $2 million in low-interest loans at DisasterLoan.SBA.gov.

“This is good news for Ohio’s small businesses and nonprofits,” Portman and Brown said in a joint statement. “This quick approval is critical to ensure that our small businesses and nonprofits have the necessary economic support to overcome the significant challenges created by this public health crisis. This funding is designed to help them weather this storm and the resulting economic fallout.”

In Pennsylvania, Gov. Tom Wolf said, “We are incredibly grateful that the SBA recognized the urgency of this situation and granted our request so quickly. I encourage our businesses and non-profits to look at the SBA resources available to them and take advantage of this opportunity for financial assistance during this time of uncertainty.”

SBA Economic Injury Disaster Loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses. The interest \rate for nonprofits is 2.75%.

The federal agency 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.

For more information, please contact the SBA disaster assistance customer service center at 1-800-659-2955 or e-mail  [email protected].

Copyright 2024 The Business Journal, Youngstown, Ohio.