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SBA launches expedited disaster relief funding
Kirill Abbakumov   on Wednesday, November 1, 2017 at 12:00:00 am

On October 16, 2017, the Small Business Administration (SBA) announced SBA's Express Bridge Loan Pilot Program (Express Bridge Pilot), which will provide expedited guaranteed bridge loan financing for disaster-related purposes to small businesses located in communities impacted by natural disasters.

SBA provides assistance to small businesses located in the communities affected by Presidentially-declared disasters. The Express Bridge Pilot initiative is designed to supplement the SBA’s disaster response capabilities and the Pilot will authorize the Agency's 7(a) Lenders with SBA Express lending authority to deliver expedited SBA-guaranteed financing on an emergency basis for disaster-related purposes to small businesses located in these communities while the businesses apply for and await long-term financing (including through SBA's direct disaster loan program, if eligible).

As a consequence of devastating hurricanes and storms in recent months, a new modification of the lending criteria will minimize the burden on businesses applying for loans through the Express Bridge Pilot and provide an incentive for SBA Express lenders to participate in the pilot. This will allow SBA Express lenders to expedite the processing of these small guaranteed loans in order to provide immediate cash to assist small businesses with rebuilding and continuing or restarting their operations while awaiting long-term disaster financing.

For full details, application criteria, and modified lending criteria, please consult the Federal Register.