Emergency loans available for Louisiana businesses

Federal loans and deferments are available to Louisiana coastal businesses affected financially by the oil spill in the Gulf of Mexico. 

Small businesses can apply for up to $2 million at a 4 percent interest rate and terms up to 30 years, the Small Business Administration announced. The deadline to apply for the loans is Feb. 7, 2011. 

The SBA also is offering deferments for businesses holding SBA loans. 

The Economic Injury Disaster loans can be used by small businesses unable to get credit to pay fixed debts, payroll, accounts payable and other bills because of the disaster's effects. SBA also is encouraging the businesses to file claims with British Petroleum, which is responsible for the clean up and containment of the massive oil spill. 

Eligible business include those involved in shrimping, crabbing and oyster fishing in the waters affected by the closure. Employees and crew members are not considered small businesses and aren't eligible, according to the SBA release. 

"With the region still recovering from previous devastation and the national recession of the last couple of years, it's critical that we take every step we can to provide small businesses with resources to make it through this latest crisis so they can continue to drive local economic growth and provide good paying jobs," said Karen Mills, SBA administrator. 

Mill said she made the loans available after receiving a request from Louisiana Gov. Bobby Jindal. 

"We'll be in Louisiana as long as we are needed and until we get the job done," Mills said. 

For more information go to: www.sba.gov/services/disasterassistance.