Governor Glenn Youngkin Announces Agriculture Small Business Loan Fund for Counties Affected by Hurricane Helene

Governor Glenn Youngkin Announces Agriculture Small Business Loan Fund for Counties Affected by Hurricane Helene

Governor Glenn Youngkin announced today that Virginia Small Business Finance Authority in partnership with the Tobacco Region Revitalization Commission will offer disaster loans to farmers and agricultural and forestry small businesses located in counties affected by Hurricane Helene in Southwest Virginia.

The Agricultural Disaster Microloan Program will provide financial assistance to Virginia small businesses impacted by Hurricane Helene. The program offers loans of up to $50,000 to help farmers and owners of agricultural and forestry businesses recover from the storm's effects, from revenue loss to the repair and replacement of damaged equipment.

The loan fund of $6 million will be available to any small business in the agriculture and forestry industries within the counties and cities of: Appomattox, Albemarle, Bedford, Bland, Botetourt, City of Bristol, Buchanan, Buckingham, Carroll, Charlotte, City of Covington, Craig, City of Danville, Dickenson, Floyd, City of Galax, Lee, Giles, Grayson, Greene, Madison, Montgomery, Nelson, City of Norton, Patrick, Pittsylvania, Pulaski, City of Radford, City of Roanoke, Russell, Scott, Smyth, Tazewell, Washington, Wise, and Wythe.

"Virginia's farmers and forestry professionals are the backbone of our economy, and their resilience has always been a testament to the strength of our Commonwealth," said Governor Glenn Youngkin. "Through the Agricultural Disaster Microloan Program, we're ensuring that these vital industries have the resources they need to rebuild. This program is a crucial step in our ongoing efforts to restore and revitalize the communities hardest hit by Hurricane Helene."

"Virginia's agriculture and forestry businesses provide a critical foundation for local communities and our economy as a whole throughout Southwest Virginia," said Secretary of Agriculture and Forestry Matthew Lohr. "With this microloan program, we are offering small loans to farmers facing extraordinary challenges from Hurricane Helene. This initiative underscores our commitment to helping Virginia's agricultural and forestry sectors not only survive but rebuild stronger than ever."

"Agriculture is central to our economy and I've seen firsthand the impact Hurricane Helene had on our farming and forestry community," said Tobacco Commission Vice-Chair, Delegate Will Morefield."For many, recovery will take years but I am proud the Tobacco Commission is able to stand by them in this time of need by providing these loans to help them get back on their feet. Our producers are the foundation of our communities and we need to do everything we can so they can get back to doing what they do best: helping our communities grow and thrive."

"Virginia Small Business Finance Authority's goal is to help small business owners succeed. We help local businesses access capital by making loans and supporting community banks," said Virginia Small Business Finance Authority's Director Joe Shearin. "By partnering with the Tobacco Regional Revitalization Commission, we are making more resources available in the Southwest and Southside regions of Virginia."

The Agricultural Disaster Microloan Program provides loans ranging from $5,000 to $50,000 to cover various disaster-related needs, including equipment repair, temporary loss of revenue, and other expenses directly resulting from Hurricane Helene. Loans are available with a fixed interest rate of 2.5%, with a reduced rate of 1.5% for veteran-owned businesses, and feature flexible terms of up to 36 months, including an interest-only period of up to 90 days or a single-pay loan option for up to 120 days. No fees are required, and all eligible applicants must have satisfactory credit, be in good standing with the State Corporation Commission, and have established their business before October 1, 2022. Funds are allocated on a first-come, first-served basis and must be used for approved purposes, which include repairs, equipment replacement, and temporary revenue loss, while debt refinancing, real estate, and passive investments are ineligible.

The program is funded by $5 million from the Tobacco Region Revitalization Commission (TRRC) and $1 million from Virginia Small Business Finance Authority (VSBFA), available through an active MoU between the two entities. TRRC funds are available exclusively to businesses located within the Commission's designated footprint communities and operating within a disaster-designated county or city in Virginia, while VSBFA funds are open to qualifying businesses outside of the Tobacco Commission Region within a disaster designated county or city in Virginia.

Applications for the Agricultural Disaster Microloan Program will be accepted through December 31, 2024. To apply and for more information on eligibility and application guidelines, visit the VSBFA website or contact VSBFA directly at https://sbsd.virginia.gov/disasterrelief/ or calling (804) 786-1049.

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