Horsford-Supported Small Business Disaster Assistance Provided to Nevada Businesses

Washington, D.C. -- Starting today, the U.S. Small Business Administration will offer low-interest federal disaster loans for working capital to small businesses suffering substantial economic injury as a result of the coronavirus (COVID-19). Now, small businesses in Nevada will be able to access those loans, following a disaster designation from the state's government and Governor Steve Sisolak. Congressman Steven Horsford released the following statement on these loans:

"Small businesses are the backbone of our economy and deserve the support of the federal government while they are faced with decreased revenue in the midst of the coronavirus pandemic," Congressman Horsford said. "With these loans, Nevada's 250,000-plus small businesses will have access to $2 million in emergency loans each, to keep them afloat in the imminent economic slowdown. I will continue to work with Governor Sisolak's office and local chambers of commerce to ensure that the small businesses who need these funds are able to access them."

In Nevada, there are more than 254,000 small businesses--more than 71,000 of which are owned by Nevadans of color. Those small businesses employ nearly 500,000 Nevadans and create roughly 27,000 new jobs every year. These loans are designed to assist these businesses that are so important to the economic health of Nevada.

SBA's Economic Injury Disaster Loans offer up to $2 million in assistance per small business and can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing. These 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. The interest rate is 3.75 percent for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible. The interest rate for non-profits is 2.75 percent.

SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower's ability to repay. SBA's Economic Injury Disaster Loans are just one piece of the expanded focus of the federal government's coordinated response, and the SBA is strongly committed to providing the most effective and customer-focused response possible.