By Times Staff
August 26, 2008 04:30 am The U.S. Small Business Administration is reminding businesses in Essex, Middlesex and Suffolk counties that Economic Injury Disaster Loans are still available to small businesses impacted by the Lorraine Apartments building fire in Gloucester last Dec. 14 and15. The declaration also covers Hillsborough and Rockingham counties in New Hampshire. "Businesses that suffered economic losses as a result of the disaster and want to apply for low-interest loans from SBA are urged to do so before the Sept. 27 deadline," said Frank Skaggs, director of SBA Field Operations Center/East. The Middle Street fire, which claimed one resident's life and destroyed the adjacent temple, actually forced out a single business that had operated in the Lorraine building. But the Small Business Administration loans are not limited to businesses directly damaged by the blaze itself. According to the U.S. Small Business Administration in Atlanta, loans are available for up to $l.5 million for small businesses that can show they suffered "substantial economic injury" from the disaster. These working capital loans may be used to pay fixed debts, payroll, accounts payable and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits. The interest rate on these loans is 4 percent, with a maximum term of 30 years. The Small Business Administration determines the amount of economic injury and the terms of each loan based on the financial circumstances of each borrower. Eligibility for the program is based on the size and type of business and its financial resources. Loan amounts and terms are set by the Small Business Administration and are based upon each applicant's financial condition. To obtain a loan application, any interested business owners should contact the Small Business Administration's Customer Service Center by calling 1-800-659-2955 (1-800-877-8339) for the hearing-impaired or by e-mailing our customer service center at disastercustomerservicesba.gov, Monday through Friday from 8 a.m. to 9 p.m., Saturday and Sunday from 9 a.m. to 6 p.m. Business disaster loan applications can also be downloaded from the Web site at www.sba.gov/services/disasterassistance. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. Victims may also apply for disaster loans from the Small Business Administration's secure Web site at https://disasterloan.sba.gov/ela. For more information about its Disaster Loan Programs, visit www.sba.go.
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