Since the Eisenhower administration, the SBA has been perhaps the most effective federal agency. Among its most helpful tools are SBA Disaster Loans that are available to businesses that need to repair property and other assets that have been damaged or destroyed in a disaster.
SBA Business Physical Disaster Loans cover help replace or restore damaged property, including buildings, machinery, equipment, fixtures, and inventory. SBA Economic Injury Disaster Loans cover operating expenses.
Small business owners, such as Barry O'Donovan, owner of the Kilkenny House Restaurant and Pub in Cranford, NJ, know first-hand just how helpful the folks at the SBA can be. After Hurricane Irene flooded his restaurant last year, the agency helped him quickly secure $300,000 in financing. He rebuilt in record time, resumed his thriving business, and was recognized for his recovery efforts by the agency when the SBA bestowed its national 2012 Phoenix Award on the pub owner earlier this year.
Small business owners recovering from Hurricane Sandy should apply for loans as soon as possible, especially if they need working capital. To assist the vast number of small businesses impacted by the "superstorm," Biz2Credit, has launched a landing page with advice on recovery assistance and a special package of services -- at no charge -- to help companies in need of SBA Disaster loans and working capital in the storm's aftermath.
Companies in New Jersey, New York, Connecticut, Pennsylvania, and other states that have been hurt by Sandy's fury can visit the Biz2Credit Hurricane Sandy Page. The page offers free registration and 1 GB document storage, information about SBA Disaster Loans and free assistance in filing the forms properly, and one free month of financial consultation by a Biz2Credit case manager. Additionally, we are providing links to FEMA resources and other useful websites.
While SBA Disaster Loans are usually processed quickly, sometimes small business owners have immediate cash needs to pay for recovery costs, working capital, and payroll. A number of lenders that specialize in rapid approvals of funding requests, such as merchant cash advance companies and factors, have agreed to waive their first month's payment to borrowers who work through Biz2Credit.
There are many business owners facing enormous challenges, including blocked streets, lack of electricity, phones and internet service. Fortunately, there are resources available to them and organizations that are willing to help.
Rohit Arora is co-founder and CEO of Biz2Credit, an online resource that connects 1.6 million small business owners with 1,100+ lenders, credit rating agencies, and service providers such as CPAs and attorneys via its Internet platform. Since 2007, Biz2Credit has secured $750 million in funding for small businesses in New Jersey and across the U.S.