Loan extension offers hope for local businesses

BLACKSBURG, Virginia. – With some business owners still trying to stay afloat, an extension to apply for economic disaster loans from the US Small Business Administration could be a silver lining.

After shutting down for about two months, an SBA loan got Lia’s Hair Styling out of the hole for three months.

“I wish more people got the loan because I think it was really beneficial,” said Luanda Parrish, the manager. “And I wish some of the businesses that are now closed were still open.”

The owner said that in the 20 years of keeping their doors open, the last year has been one of the most difficult.

So far, the SBA has approved $ 197 billion in low-interest loans for various businesses and nonprofits due to the pandemic.

But these loans will have an interest rate of 3.75%. The SBA calls it affordable, but Parrish said it might be a little too high.

“I don’t know how I’m going to feel about it. If that was me, I don’t know if I would take it, ”Parrish said. “But if you’re desperate enough and want to keep your business afloat and you have the means and other means to balance that interest, I think you should go for it.”

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But Karmen George, the owner of Halwa Bakery and Café, said that when you feel your business is in trouble, you will do whatever you can.

Copyright 2021 by WSLS 10 – All rights reserved.

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