WASHINGTON – Today, SBA Administrator Isabel Casillas Guzman announced that low-interest, long-term disaster loans from the U.S. Small Business Administration are available in Tennessee due to the severe storms, straight-line winds, and tornados that occurred in Knoxville on Aug. 7, 2023https://www.sba.gov/person/isabella-casillas-guzman. The SBA as a part of the Biden-Harris Administration declared the disaster declaration to ensure businesses and residence of Tennessee have all the available resources necessary for the most robust and resilient recovery as possible.
The SBA made the loans available in response to a letter from Governor Bill Lee’s authorized representative Patrick C. Sheehan, on Oct. 30, 2023, requesting a disaster declaration by the SBA. The declaration covers Knox County and the adjacent counties of Anderson, Blount, Grainger, Jefferson, Loudon, Roane, Sevier, and Union in Tennessee. Eligible applicants in the declared area can now apply for low-interest, long-term disaster loans from the SBA to support the economic recovery of the impacted community.
“SBA stands ready to help the residents and businesses of Tennessee impacted by the disaster in Knoxville,” said Administrator Guzman. “With today’s announcement, we stand committed to providing assistance in the form of federal disaster loans to help businesses and communities get the financial support they need to recover and rebuild.”
To assist businesses and residents affected by the disaster, the SBA will open a Disaster Loan Outreach Center (DLOC) at 12 p.m. Tuesday, Nov. 7 in Knoxville:
Disaster Loan Outreach Center
Knox County
Cedar Bluff Library
Knoxville, TN 37923
Opening: Tuesday, Nov. 7, 12 p.m. to 8 p.m.
Hours: Monday –Thursday, 10 a.m. to 8 p.m.
Friday, 10 a.m. to 5 p.m.
Saturday, 10 a.m. to 2 p.m.
Closed: Sunday
Friday, Nov. 10 in observance of Veterans Day
Permanently Closes: Friday, Nov. 17 at 4 p.m.
Customer Service Representatives will be available at the DLOC to answer questions about the disaster
loan program and help individuals complete their applications. “Businesses and private nonprofit organizations may borrow up to $2 million to repair or replace disaster-damaged or destroyed real estate, machinery and equipment, inventory, and other business assets,” said SBA’s Tennessee District Director David Glasgow.
For small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations, the SBA offers Economic Injury Disaster Loans (EIDLs) to help meet working capital needs caused by the disaster. Economic Injury Disaster Loan assistance is available regardless of whether the business suffered any physical property damage.
Loans up to $500,000 are available to homeowners to repair or replace damaged or destroyed real estate. Homeowners and renters are eligible for loans up to $100,000 to repair or replace damaged or destroyed personal property.
Applicants may be eligible for a loan amount increase of up to 20 percent of their physical damages, as verified by the SBA for mitigation purposes. Eligible mitigation improvements may include a safe room or storm shelter, sump pump, French drain or retaining wall to help protect property and occupants from future damage.
Interest rates are as low as 4% for businesses, 2.375% for nonprofit organizations, and 2.5% for homeowners and renters, with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition.
Applicants may apply online via SBA’s secure website at sba.gov/disaster and should apply under SBA declaration # 20060.
Disaster loan information and application forms can also be obtained by calling the SBA’s Customer Service Center at 800-659-2955 (if you are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services) or sending an email to DisasterCustomerService@sba.gov. Loan applications can also be downloaded from sba.gov/disaster. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The filing deadline to return applications for physical property damage is Jan. 2, 2024. The deadline to return economic injury applications is Aug. 2, 2024.
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About the U.S. Small Business Administration
The U.S. Small Business Administration helps power the American dream of business ownership. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow, expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.