The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in Arkansas about the approaching deadline of April 21, 2025, to apply for federal disaster loans. These loans aim to offset economic losses caused by severe weather conditions, including excessive rain, hail, high winds, lightning, and flash flooding that occurred on May 22, 2024.
This disaster declaration encompasses the counties of Crittenden, Lee, Monroe, Phillips, and St. Francis in Arkansas and Tunica County in Mississippi. The SBA's Economic Injury Disaster Loan (EIDL) program is accessible to small businesses, small agricultural cooperatives, nurseries, and private nonprofits directly impacted by the disaster. However, it excludes agricultural producers like farmers or ranchers unless they are involved in small aquaculture enterprises.
EIDLs can be used for working capital needs resulting from the disaster even if there was no physical damage to the business or nonprofit organization. These loans may cover fixed debts, payrolls, accounts payable, and other bills that could not be paid due to the disaster.
“Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover,” stated Chris Stallings from the Office of Disaster Recovery and Resilience at the SBA. “We’re pleased to offer loans to small businesses and private nonprofits impacted by these disasters.”
Eligible applicants can receive up to $2 million with interest rates as low as 4% for small businesses and 3.25% for private nonprofits over terms extending up to 30 years. Interest does not accrue nor are payments due until a year after the first loan disbursement date. The SBA determines loan amounts and terms based on each applicant's financial condition.
Applications can be submitted online at sba.gov/disaster or through contacting SBA’s Customer Service Center at (800) 659-2955 or emailing disastercustomerservice@sba.gov for more details on disaster assistance programs. Those who are deaf or hard of hearing can access telecommunications relay services by dialing 7-1-1.
All completed loan applications must reach the SBA by April 21.