Natural disasters can affect your business and cause other financial hardship. Finding ways to mitigate the damage and recover from the disaster is essential. With the availability of the SBA disaster loans program initiated by the government, you can get the help you need. To benefit from disaster loans, it is vital that you have the right information and guidance.

How SBA Disaster Loans Work

You should note that any business or individual can access and utilize SBA disaster recovery loans as long as they are in U.S. territory. You can either qualify for physical disaster loans or loans for economic recovery.

Loans for economic recovery assist small organizations to meet basic and necessary financial obligations that most people find hard to meet after a disaster. With economic recovery loans, you get the funding in the form of working capital loans and not donations.

How To Apply For an SBA Disaster Loan

Before applying for SBA disaster loans, you should determine if you are in a declared disaster area. This is the first step which will determine your qualifications. The government and the SBA have the power to declare an area as disaster-affected. Therefore, you should check the list to confirm if your area is among the declared ones.

If you have insurance coverage, there are minimal chances that SBA will come to your rescue as the focus is to pay for damages not covered by insurance. But you can utilize the insurance cover to pay for SBA loans if you qualify. 

You can apply for SBA disaster loans using the online disaster loan process, submitting a paper loan application, or apply in person at the local disaster relief center with an SBA booth.

How To Increase The Probability of Getting a Disaster Recovery Loan

The best way to increase the chances of getting SBA disaster loans is by checking your credit rating, preparing the information needed, gathering relevant documents, and using the right channels of application. When you have everything needed, the disaster loans application process becomes productive.

With the availability of SBA disaster loans, recovering from the effects of natural disasters becomes possible. Get in touch with Growth Capital Team for more guidance.