The U.S. Small Business Administration (SBA) is reminding private nonprofit organizations in Arkansas of the approaching deadline to apply for federal disaster loans. These low-interest loans are intended to offset economic losses from severe storms, straight-line winds, tornadoes, and flooding that took place between May 24 and May 27, 2024. The deadline for applications is March 12, 2025.
The disaster declaration applies to the counties of Baxter, Benton, Boone, Carroll, Fulton, Madison, Marion, Nevada, Randolph, and Sharp. Under this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is accessible to private nonprofits that offer non-critical services similar to those provided by government entities and have experienced financial losses due to the disaster. Eligible organizations include food kitchens, homeless shelters, museums, libraries, community centers, schools, and colleges.
EIDLs can be used for working capital needs caused by the disaster even if there was no physical damage sustained by the organization. The loans can cover fixed debts, payrolls, accounts payable and other expenses that would have been paid had the disaster not occurred.
Loan amounts may reach up to $2 million with interest rates as low as 3.25%, repayable over terms up to 30 years. Interest does not accrue until a year after the first loan disbursement date. Loan amount terms are determined based on each applicant’s financial condition.
For more information or to apply online visit SBA.gov/disaster. Applicants can also contact SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for assistance with SBA disaster aid. For individuals who are deaf or hard of hearing or have a speech disability please dial 7-1-1 for telecommunications relay services.
Completed loan applications must be submitted by March 12.
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"The U.S. Small Business Administration helps power the American dream of business ownership," according to their statement about their mission. As a primary resource backed by federal strength for small businesses in America "the SBA empowers entrepreneurs and small business owners with resources" needed for starting up growing expanding businesses or recovering from declared disasters through its extensive network including field offices partnerships public-private organizations."