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Federal Disaster Loans Available for Montgomery County Small Businesses Impacted by COVID-19

For Immediate Release: Friday, March 20, 2020

Montgomery County small businesses suffering substantial economic injury as a result of the COVID-19 pandemic, are eligible to receive low-interest, federal disaster loans for working capital offered by the U.S. Small Business Administration (SBA).  

The “Coronavirus Preparedness and Response Supplemental Appropriations Act” offers small businesses, private non-profit organizations of any size, small agricultural cooperatives and small aquaculture enterprises an opportunity to apply for Economic Injury Disaster Loans of up to $2 million to help meet financial obligations and operating expenses.

“I am excited to see the SBA provide Disaster Assistance relief to our County’s small businesses at this critical time,” said Jerome Fletcher, Assistant Chief Administrative Officer for Economic Development. “During this time of uncertainty, all levels of government need to explore every option to keep businesses from shutting down permanently. These desperately needed loans will help them get through this crisis as we prepare for the next phase of recovery for the economy.”

These federal disaster loans may be used to pay fixed debts, payroll, accounts payable, and other bills that can’t be paid because of the disaster’s impact.

Eligibility for Economic Injury Disaster Loans is based on the financial impact of the Coronavirus (COVID-19). The interest rate is 3.75 percent for small businesses. The interest rate for private non-profit organizations is 2.75 percent.

SBA customer service representatives will be available to answer questions about the SBA’s Economic Injury Disaster Loan program and explain the application process.

The deadline to apply for an Economic Injury Disaster Loan is Dec. 21, 2020.

For more information, see the COVID-19 Small Business Administration Assistance page.

For the latest updates, visit the County’s COVID-19 website and follow

Montgomery County on Facebook @MontgomeryCountyInfo and Twitter @MontgomeryCoMD.

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Release ID: 20-107
Media Contact: Julie Parker  240-777-6507