SBA ready, willing to help small businesses survive coronavirus

Disaster loans available now. Stimulus program pending.

Brian Kelly
March 25, 2020 - 3:55 pm
business closed sign

KANSAS CITY, Mo (KMOX) - As they wait for more help coming from Washington, small business owners concerned about surviving the coronavirus shutdown can get help today, with the click of a button. 

That click is on the "Learn More" button on the coronavirus information page at SBA.GOV. Region VII Administrator Tom Salisbury tells KMOX businesses from 2 to 500 employees can get up to $2 million, on a 30-year loan at three-and-three-quarters percent. Non-profits can get it at two-and-three-quarters percent.

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All the information they need, according to Salisbury, is their projected losses, which the SBA will check against last year's numbers.

"Our only proof source is to go back to their 2018 tax return and see if the revenue projection they're going to lose relatively matches up to that same time period on their most recent tax return." 

He says they'll know if they qualify, quickly.

"If they're approved, they will get their funding in days, not weeks. If they're declined in some way, they do have an opportunity to appeal and at that point they would talk with individual reviewers. 

However, if they can wait a few days, Salisbury says the pending stimulus package will guarantee loans through their banks, which should result in even better terms.

"It should contain some extraordinarily favorable terms for small businesses that will allow them, if they wish, to continue that relationship through the SBA but also their existing banking relationship." 

He says the package will allow such loans with as little red tape as possible.

"We set aside some of the details that are normally in place when a bank and a customer decide on a loan that involves the SBA. Most of that is set aside. The goal is to get funding into the customer's hands with as little bit of detail as the bank needs. Also, to make sure the bank knows that the loan they're making is supported by the government agency, the SBA."

Salisbury says, "There is something of a term people often say with a little bit of a wry smile, 'we're from the government and we're here to help you'. But in this case, that is an absolutely accurate statement."

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