President Donald Trump announced a new plan Wednesday night to help small businesses deal with the economic blow following the coronavirus.
Trump's Administration is offering up $50 billion in relief packages for small business owners being fiscally impacted by the novel coronavirus.
Relief is available to businesses in North Dakota.
"Effective immediately, the SBA will begin providing economic loans in affected states and territories," Trump said.
In an effort to offset a volatile market, SBA will be offering Economic Injury Disaster Loans to businesses that have been adversely affected by the coronavirus.
"If a business has decreased sales, decreased profits, increased expenses in trying to deal with the coronavirus situation and they have a shortage in cash flow, SBA can come provide a low interest, long term working capital loan," said District Director for SBA in ND Al Haut.
Businesses can apply for a maximum loan amount of $2 million with an interest rate of 3.75%. Nonprofits might also be eligible with an interest rate of 2.75%.
"What the disaster recovery loans really will allow them to do is to make up lost revenue, is to utilize these funds to make payroll, to pay off accounts payable, really to keep their businesses operating while they might have less customers," said Bismarck Mandan Chamber Economic Development Corporation President Brian Ritter.
First, the governor will have to make a request to SBA stating at least five North Dakota businesses have been impacted. Then, SBA can step in on a county-by-county basis.
North Dakota legislature is in contact with the local SBA. Haut expects loans to be available to businesses in the state within the next few days. For more information or to apply, you can visit SBA.gov/disaster.