SBA offering loans for small businesses
The U.S. Small Business Administration is offering low interest federal loans for businesses affected by Covid-19. The interest for small businesses will be 3.75% for small businesses, and 2.75% for non-profit organizations.
"This is a loan, that small business owners can apply for. There are some criteria, you have to own a small business, and some small non-profits can apply," Small Business Association regional administrator Robert Scott said.
If the businesses need the money now and are unable to make loan payments, if accepted they can defer payments for up to a year.
"You apply for that idle loan, you get approved, you get funded, once you are approved and funded you can actually defer they payment on that loan for one year," Scott added.
If a business gets and loan and finds that they need more money than they originally borrowed, they can apply to receive more.
"If a small business owner does apply for our program and is approved for the loan, just because they get approved for a certain amount and they need more. They can get back to us and actually ask for more money," Scott explained.