The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in Texas about the deadline to apply for federal disaster loans. These loans aim to mitigate economic losses due to adverse weather conditions that affected the region in March and May of 2024.
Two disaster declarations cover specific counties: Declaration Number 20461 includes Lampasas as a primary county with Bell, Burnet, Coryell, Hamilton, Mills, and San Saba as neighboring counties. This declaration addresses flooding, excessive rain, and flash floods from May 4-5, 2024. Declaration Number 20462 lists Hunt as a primary county with Collin, Delta, Fannin, Hopkins, Kaufman, Rains, Rockwall, and Van Zandt as neighboring counties for flooding and excessive rain starting March 11, 2024.
Under these declarations, the SBA’s Economic Injury Disaster Loan (EIDL) program is available to eligible small businesses and private nonprofits that experienced financial losses due to these events. However, agricultural producers are generally not eligible unless they are involved in aquaculture enterprises.
The EIDLs can be used for working capital needs caused by the disaster. They are available even if there was no physical damage to the business. The loans can cover fixed debts, payrolls, accounts payable, and other bills that would have been paid had the disaster not occurred.
Loan amounts can reach up to $2 million with interest rates of 4% for small businesses and 3.25% for private nonprofits. Terms extend up to 30 years with interest accrual and payments deferred until one year after the first loan disbursement. The SBA determines loan amounts based on each applicant's financial situation.
The availability of EIDLs follows a declaration by the U.S. Secretary of Agriculture on July 9, 2024. Agricultural enterprises should contact the Farm Services Agency regarding assistance made available through this declaration.
Applicants are encouraged by the SBA to submit their applications promptly since processing will occur in order received. Applications must be submitted no later than March 10.
For more information or to apply online visit sba.gov/disaster or contact SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov.
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