Army reservist's veterinary clinic gets helping hand while he's overseas; loan program helps pay bills while vet serves in Afghanistan.

Rick Parsons realized a dream in 1997 when he opened his own veterinary practice not far from where he grew up in suburban Rochester, N.Y.

But his dream nearly turned into a nightmare when Parsons, an Army reservist, was sent to Afghanistan for 10 months and, in his absence, his one-doctor operation faced potential ruin.

His salvation was a low-interest Small Business Administration loan that provided the money to keep his Churchville Veterinary Hospital running while he was in Afghanistan from October 2002 until August 2003.

Parsons received a $72,800 loan through the SBA's 3-year-old Military Reservist Economic Injury Disaster Loan program. The Treasury-backed loans are available to companies whose business is hurt when essential employees are called up by the military reserves or National Guard.

"If it wasn't for that loan, we'd be bankrupt," Parsons says. "Now things are coming hack again, which is good."

Parsons' clinic was one of 142 businesses out of 240 applicants that received a total of nearly $11.9 million in military disaster loans between Aug. 24, 2001, when the program began, and the end of 2003, according to Colleen Hiam, spokeswoman for the SBA disaster office in Niagara Falls, N.Y. The average loan was $83,768.

In addition to reservists like Parsons and members of the National Guard who own businesses, the loan program can provide relief to companies affected by the call-up of key employees.

More people probably could take advantage of the SBA's MREIDL program if they were aware of it.

"The hardest thing is getting the word out about this program," Hiam says. "When you're being deployed, the first thing you think about usually is your will and making sure your house is in order so your wife and children are taken care of. Many times (reservists) don't think about what the impact of being gone is on their business until they get back and see what happened."

Reservists and National Guard members have up to 90 days after they are discharged from active duty to apply.

Parsons heard about the loan program before he left for Afghanistan, and his wife, Marla, went through the application process after he shipped out with the 401st Civil Affairs Battalion.

Parsons, a captain, used his military salary to pay household costs back home, while the SBA loan covered expenses to operate the animal hospital.

The business took a hard hit while Parsons was overseas. Some people took pets to other veterinarians and the hospital had to hire three part-time doctors to keep the business going before being able to hire a full-time veterinarian in May 2003.

Maria Parsons had to quit her job as a saleswoman for an animal pharmaceutical company so she could manage the business in her husband's absence. She still is working as business manager--one of five employees.

"I don't think he realized how much it was going to hit us," Maria says of her husband's absence. "We knew that there'd be some sacrifices, but I really don't think he had any idea how much."

Parsons says small-business owners such as himself often take a hit when they deploy, unlike reservists and National Guard personnel who work for others and may still collect a salary from their jobs back home.

"I know people who were paid the entire time or several months into deployment," he says.

Parsons' tour in Afghanistan was his second military stint abroad. An Army lieutenant from 1986 to 1990, he was stationed in Germany for three years.

After leaving the Army, Parsons went to veterinary school at Ohio State University, graduating in 1994. He worked for another practice before opening Churchville Veterinary Hospital in 1997. He joined the Army Reserve in December 2001 because of "a calling."

Parsons' startup business had double-digit growth each year until 2002.

Today, the business is rebounding. Some clients who left have returned. The full-time vet hired last year is bringing in new patients and Parsons is hoping the business will return this year to where it was before he went overseas.

For now, he's working there part-time because there is not enough work for more than one full-time doctor. In November, he found a job at the University of Rochester Medical Center animal laboratory as a clinical veterinarian.

Parsons, who received a Bronze Star for meritorious service in Afghanistan, is trying to transfer to another Reserve unit so he will not be deployed again.

"I can't afford to do that in the short term; it's just too much of a sacrifice," says Parsons.

But despite the hardships he and his business have suffered, Parsons views his decision to serve as a just sacrifice.

"No matter what your political philosophies are, or the problems that we have, this country still stands on the notion of free choice and opportunity, and I feel that's worth supporting," he says.

CHURCHVILLE VETERINARY HOSPITAL

Rich Parsons

P.O. Box 367 Churchville, NY 14428

[phone]

www.churchville-vet.com

Year founded: 1997

Annual revenue: $300,000

Number of employees: 5

SBA-backed loan amount: $72,800

SBA loan terms: 4 percent, 13 years

About this program ...

What: Provides working capital to small businesses to meet operating expenses that they would normally be able to meet but now cannot because an essential employee has been called up to active duty in the military reserves. The loans don't cover lost income or profits.

How: Filing period begins on the date the essential employee is ordered to active duty and ends 90 clays after the essential employee is discharged or released from active duty. Documents needed include a written explanation of how the essential employee's activation has or will result in economic injury to the business.

Loan terms: The loan amount, up to a maximum of $1.5 million, is limited to economic injury calculated by the SBA. If the business is a major employer, SBA has the authority to waive the limit. Loan terms are up to 30 years and based on borrower's ability to repay. Maximum interest rate is 4%.

Information: For program details and application forms, visit www.sba.gov/ disaster_recov/loaninfo/ militaryreservist.html.