SBA to Expedite Processing of Business Disaster Loans

In an effort to provide faster assistance to business owners in the areas affected by Hurricanes Katrina, Rita and Wilma the U.S. Small Business Administration announced that it would use an expedited process for disaster loans under $100,000 for businesses that can meet specified criteria.

While the streamlining of the application process will enhance the SBA’s ability to get money in the hands of disaster survivors more quickly, Administrator Hector V. Barreto also encouraged business owners to submit their applications as soon as possible.

“Within the last few days the agency has introduced initiatives aimed at speeding up the disaster loan application process. Meanwhile, the sooner the SBA receives the disaster loan application, the sooner the loan funds can be disbursed,” Barreto said.

The business owners must have satisfactory credit, a gross income greater than $25,000, and a satisfactory SBA loan history. Additional requirements include a controlling ownership by an individual or group of individuals and a verifiable federal tax return with 12 months of operations.

Businesses in the areas affected by Hurricanes Katrina, Rita and Wilma are encouraged to apply for federal assistance by registering online with FEMA at www.fema.gov, or by calling 1-800-621-FEMA (3362), or 1-800-462-7585 (TTY) for the hearing and speech impaired. The toll-free numbers will operate 24 hours daily until further notice.