The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in Arkansas of the approaching March 31 deadline to apply for federal disaster loans. These loans aim to offset economic losses caused by severe weather conditions that affected several counties last spring.
Eligible entities include small businesses, small agricultural cooperatives, nurseries, and private nonprofits that experienced financial setbacks due to disasters. However, the SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers unless they are aquaculture enterprises.
"SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery," said Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. "These loans not only help business owners get back on their feet but also play a key role in sustaining local economies in the aftermath of a disaster."
Loans can reach up to $2 million with interest rates as low as 4% for small businesses and 3.25% for nonprofits. Terms extend up to 30 years, with no interest accruing or payments due until one year after the first loan disbursement. Loan amounts and terms depend on each applicant's financial condition.
The U.S. Secretary of Agriculture declared these disasters on July 29, 2024, allowing EIDLs under law when an agricultural disaster is designated. Agricultural enterprises should contact the Farm Services Agency regarding assistance available through this declaration.
Applications will be prioritized based on submission order as part of SBA's commitment to efficient processing. Interested parties can apply online at sba.gov/disaster or contact SBA’s Customer Service Center at (800) 659-2955 for more information.
Completed applications must be submitted by March 31, 2025.