Lindy Lee Gold
State of Connecticut Department of Economic and Community Development
SMALL BUSINESS LOANS
Separately, the governor announced that small businesses and nonprofit organizations in Connecticut that have been negatively impacted by the global COVID-19 outbreak are now eligible for disaster relief loans of up to $2 million from the U.S. Small Business Administration (SBA).
On Sunday, the governor submitted a request to the federal agency for expedited approval of the disaster relief to immediately provide aid to businesses in Connecticut. Over the past several days, the Connecticut Department of Economic and Community Development (DECD) has been working diligently to survey companies statewide to assess the impact of COVID-19 on the small business community and the local economy.
“Small businesses and nonprofits of all types are experiencing large, sudden drops in revenue while trying to do the right thing and give employees the flexibility they need to take care of themselves and their families,” Lamont said. “One of our priorities is to help them as much we can. SBA disaster relief loans are an important tool that can help Connecticut businesses.”
“The availability of SBA loans is another key piece of a broader set of relief measures the Lamont administration continues to put into place for individuals and our business community,” DECD Commissioner David Lehman said. “Their ability to successfully navigate this health crisis is of vital importance to our economy in the short and long-term. The DECD team will remain proactive and continue to assess the impact of this pandemic and assist small businesses navigate this unprecedented economic climate.”
Small businesses can learn more about the program and apply for financial assistance at www.sba.gov/disaster or call the SBA at 1-800-659-2955.
Small businesses with questions about the SBA loan program or other assistance provided at the state-level can call 860-500-2333 to speak directly with a DECD representative. Businesses can also stay informed on news and guidance related to COVID-19 and its impact on Connecticut by visiting the state’s dedicated coronavirus website at ct.gov/coronavirus.
SBA Offers Disaster Assistance to Connecticut
Small Businesses Economically Impacted by the Coronavirus (COVID-19)
CONNECTICUT – The U.S. Small Business Administration is offering low-interest federal disaster loans for working capital to Connecticut small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19), SBA Administrator Jovita Carranza announced yesterday. SBA acted under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, to declare a disaster following a request received from Gov. Ned Lamont on March 15, 2020.
The disaster declaration makes SBA assistance available in the entire state of Connecticut; and the contiguous counties of Berkshire, Hampden, and Worcester in Massachusetts; and Dutchess, Putnam and Westchester in New York; and Kent, Providence and Washington in Rhode Island.
“SBA is strongly committed to providing the most effective and customer-focused response possible to assist Connecticut small businesses with federal disaster loans. We will be swift in our efforts to help these small businesses recover from the financial impacts of the Coronavirus (COVID-19),” said Administrator Carranza.
SBA Customer Service Representatives will be available to answer questions about SBA’s Economic Injury Disaster Loan program and explain the application process.
“Small businesses, private non-profit organizations of any size, small agricultural cooperatives and small aquaculture enterprises that have been financially impacted as a direct result of the Coronavirus (COVID-19) since Jan. 31, 2020, may qualify for Economic Injury Disaster Loans of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred,” said Carranza.
“These 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. Disaster loans can provide vital economic assistance to small businesses to help overcome the temporary loss of revenue they are experiencing,” Carranza added.
Eligibility for Economic Injury Disaster Loans is based on the financial impact of the Coronavirus (COVID-19). The interest rate is 3.75 percent for small businesses. The interest rate for private non-profit organizations is 2.75 percent. SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years and are available to entities without the financial ability to offset the adverse impact without hardship.
Applicants may apply online, receive additional disaster assistance information and download applications at https://disasterloan.sba.gov/ela. Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email firstname.lastname@example.org for more information on SBA disaster assistance. Individuals who are deaf or hard‑of‑hearing may call (800) 877-8339. Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The deadline to apply for an Economic Injury Disaster Loan is Dec. 16, 2020. For more information about Coronavirus, please visit: Coronavirus.gov. For more information about available SBA resources and services, please visit: SBA.gov/coronavirus.