The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in South Carolina of the approaching February 28 deadline to apply for federal disaster loans. These low-interest loans aim to mitigate economic losses caused by severe storms, high winds, and hail that occurred on April 20, 2024.
The disaster declaration affects several counties: Cherokee, Chester, Lancaster, Union, and York in South Carolina; as well as Cleveland, Gaston, and Mecklenburg in North Carolina.
Through this declaration, the SBA's Economic Injury Disaster Loan (EIDL) program is accessible to small businesses, small agricultural cooperatives, nurseries, and private nonprofits that experienced financial setbacks due to the disaster. However, the SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers except for small aquaculture enterprises.
These EIDLs are intended for working capital needs resulting from the disaster and can be utilized even if no physical damage was incurred by the business or organization. The loans may cover fixed debts, payroll, accounts payable, and other bills that would have been settled had the disaster not taken place.
Eligible applicants can receive loan amounts up to $2 million with interest rates starting at 4% for small businesses and 3.25% for private nonprofits. Loan terms can extend up to 30 years. Interest does not begin accruing until a year after the first loan disbursement date. The SBA determines loan amount terms based on each applicant’s financial condition.
Interested parties can find more information and apply online at sba.gov/disaster. They may also contact SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for further assistance regarding SBA disaster aid. Telecommunications relay services are available by dialing 7-1-1 for those who are deaf or hard of hearing.
The deadline for submitting economic injury applications is February 28, 2025.
The U.S. Small Business Administration supports American entrepreneurs by providing resources necessary to start, grow or expand their businesses or recover from declared disasters through its network of field offices and partnerships with public and private entities.