The SBA has approved over $1 billion in loans to Florida businesses and residents affected by the recent flooding in Fort Lauderdale. The SBA is also offering loans to businesses and homeowners affected by the recent tornadoes in the state. The loans are available for up to $200,000 for homeowners and up to $1 million for businesses.
SBA loans can be a great option for people who need financial assistance but may not qualify for a traditional loan from a bank or other lender. SBA loans have lower interest rates and more flexible terms than many other types of loans, making them more affordable for borrowers. Additionally, the SBA has a network of lenders that are experienced in working with disaster victims and small businesses, so borrowers can be confident that they are getting the best possible assistance.
What are SBA loans used for?
There are many reasons for SBA loans. When it comes to property damage, loans may be used to:
- Repair or rebuild a home or business that has been damaged or destroyed by a disaster. The SBA offers loans to homeowners and businesses to help them repair or rebuild their property after a disaster. These loans can be used to cover the cost of repairs, materials, and labor. The SBA also offers loans to help homeowners and businesses replace personal property that has been damaged or destroyed in a disaster.
- Cover the cost of uninsured or underinsured losses. The SBA offers loans to help homeowners and businesses cover the cost of uninsured or underinsured losses. These loans can be used to cover the cost of repairs, materials, and labor that are not covered by insurance. The SBA also offers loans to help homeowners and businesses replace personal property that is not covered by insurance.
If you have not yet filed an insurance claim for property damage or economic loss for your home or business resulting from the Fort Lauderdale flooding or recent tornadoes, that is your first step. Why? When it comes to loan restrictions pertaining to uninsured losses, only uninsured or otherwise uncompensated disaster losses are eligible for SBA loans.
And, because the deadline for SBA applications to cover physical property damage is June 26, 2023, you will need to work fast to get that claim going and resolved. Unfortunately, insurance companies may not feel this same sense of urgency as you do. You may encounter extended delays to your property insurance claim if your insurance company requests additional information or low-balls the offer. You should be aware of how long it takes for an insurance claim to be approved and the top five problems you may encounter with your insurance company when filing a claim.
Should you apply for an SBA loan to cover physical property damage or economic loss?
Short answer: you should not apply for an SBA loan for property damage or for your business’ economic loss until you have exhausted all options with your insurance company for proper compensation for your insurance claim. Your insurance company may have unfairly underpaid or wrongly denied your claim. Before accepting their decision, seek the help of insurance claim professionals who are on your side to balance the scales of justice.
We would be honored to help you. How much more a public adjuster could get you for your damaged property depends on your individual circumstances. Call us for a free consultation and we will review your case details and let you know how we can help your case.
What are the details for the SBA loans for the April 2023 Fort Lauderdale flooding and Florida tornadoes?
What you need to know about the SBA loan:
- The interest rate is 2.3% for homeowners and non-profits and 4% for businesses.
- The loans are payable over 30 years, with the first year interest-free.
- To qualify, applicants must have a credit history acceptable to the SBA and show an ability to repay the loan.
- Collateral is required for loans over $25,000.
- For more information, review the Fort Lauderdale Flooding – SBA Loans fact sheet or contact the SBA customer service center at 800-659-2955.
Again, CORE Public Adjusters is here to help you with your insurance claim. When you hire CORE Public Adjusters, our promise to you is that we will:
- Assess and document your damage, accurately, and as quickly as possible.
- Submit to your insurance company a comprehensive damage portfolio including a formal demand for payment.
- Always review offers made by the insurance company with you and never accept offers from the insurance company that you do not agree to.
- Communicate with you proactively on the status of your case so you’re never left wondering what’s happening and what’s left to do.
- Aim to get you paid as much as possible, as quickly as possible.
- Negotiate aggressively, but professionally, with smart and strategic communication approaches with your insurance company.
Contact us now for a free, no obligation inspection and consultation.
