The U.S. Small Business Administration (SBA) has issued a reminder to small businesses and private nonprofit organizations in Washington about the upcoming deadline of April 28, 2025, to apply for federal disaster loans. These loans are available to address economic losses resulting from the drought that began on July 2, 2024.
The affected areas include the counties of Benton, Grant, King, Kittitas, Klickitat, Lewis, Pierce, Skamania, and Yakima. The SBA's Economic Injury Disaster Loan (EIDL) program extends assistance to small businesses, small agricultural cooperatives, nurseries, and private nonprofits that have faced financial setbacks due to the drought. However, agricultural producers, farmers, and ranchers are generally not eligible, except for small aquaculture enterprises.
These loans are intended to meet working capital needs arising from the drought and are available even to those businesses or nonprofits that did not suffer physical damage. The funds can be used for obligations like fixed debts, payroll, and accounts payable that have remained unpaid due to the disaster.
Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA, stated, “SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery. 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 of up to $2 million are offered, with interest rates starting at 4% for small businesses and 3.25% for private nonprofits. Loan terms can extend up to 30 years, with the first payment and interest not due until a year after the first loan disbursement. The SBA determines the loan amount and terms based on each applicant’s financial situation.
To submit an application, visit sba.gov/disaster, or contact SBA’s Customer Service Center at (800) 659-2955. For individuals with hearing or speech disabilities, telecommunications relay services can be accessed by dialing 7-1-1. Submit loan applications by the deadline.
The SBA continues to support small business owners and private nonprofits by supplying resources and guidance needed for various stages of business development and recovery.