The U.S. Small Business Administration (SBA) has issued a reminder for eligible small businesses and private nonprofit organizations in Oklahoma regarding the May 5, 2025 deadline to apply for federal disaster loans aimed at mitigating economic losses from the drought on August 27, 2024.
The declared disaster area encompasses Comanche, Cotton, Jackson, Jefferson, Kiowa, Stephens, and Tillman counties in Oklahoma, along with Clay, Wichita, and Wilbarger counties in Texas.
The SBA's Economic Injury Disaster Loan (EIDL) program offers assistance to small businesses, small agricultural cooperatives, nurseries, and private nonprofit organizations that have experienced financial losses due to the drought. It should be noted that agricultural producers, farmers, and ranchers, except small aquaculture enterprises, are not eligible for these loans.
EIDLs are intended for working capital needs resulting from the disaster and can be used even if physical damage was not sustained by the business or nonprofit. Loan recipients may use the funds for fixed debts, payroll, accounts payable, and other bills that remained unpaid due to the disaster.
“Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover,” said Chris Stallings, associate administrator of 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.”
The loan limit is $2 million, with interest rates as low as 4% for small businesses and 3.25% for private nonprofits, repayable over a period of up to 30 years. Interest accrual and payments are deferred until 12 months after the initial loan disbursement. SBA assesses the applicant’s financial situation to determine eligibility, loan amounts, and terms.
Applicants can apply online at sba.gov/disaster, call the SBA Customer Service Center at (800) 659-2955, or email disastercustomerservice@sba.gov for more details on SBA disaster aid. Telecommunications relay services can be accessed via 7-1-1 for those who are deaf, hard of hearing, or have speech disabilities.
Loan applications must be submitted by May 5.
The U.S. Small Business Administration is committed to supporting small businesses by providing necessary resources and support to navigate and recover from declared disasters through its network of field offices and partnerships. More information can be found at www.sba.gov.