The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in Arkansas of the upcoming deadline to apply for federal disaster loans. These loans are intended to offset economic losses from severe storms and tornadoes that occurred on May 8, 2024. The deadline for applications is March 21, 2025.
This disaster declaration includes the counties of Garland, Hot Spring, Montgomery, Perry, Saline, and Yell. Under this declaration, the SBA's Economic Injury Disaster Loan (EIDL) program is available to small businesses, small agricultural cooperatives, nurseries, and private nonprofits with financial losses directly related to the disaster. However, the SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers unless they are small aquaculture enterprises.
EIDLs can be used for working capital needs caused by the disaster and are available even if there was no physical damage to the business or nonprofit organization. The loans may cover fixed debts, payroll, accounts payable, and other bills not paid due to the disaster.
Loan amounts can reach up to $2 million with interest rates as low as 4% for small businesses and 3.25% for private nonprofits. Terms can extend up to 30 years. Interest does not accrue nor are payments due until 12 months after the first loan disbursement. The SBA determines loan amount terms based on each applicant’s financial condition.
Applications can be submitted online at SBA.gov/disaster. For more information on SBA disaster assistance, applicants may call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov. Those who are deaf or hard of hearing can use telecommunications relay services by dialing 7-1-1.
Completed loan applications must be submitted by March 21.
The U.S. Small Business Administration aims to support entrepreneurs and small business owners with resources needed for starting, growing, expanding their businesses or recovering from declared disasters through its network of field offices and partnerships with public and private organizations.