The U.S. Small Business Administration (SBA) is offering low-interest federal disaster loans to aid small businesses and private nonprofit organizations in New Mexico that have faced economic difficulties due to a drought that began on January 28.
The declaration includes several regions: New Mexico's counties of Catron, Cibola, Lincoln, Los Alamos, McKinley, Mora, Rio Arriba, Sandoval, San Juan, Santa Fe, Sierra, Socorro, Taos, Torrance, and Valencia. In Arizona, Apache County is included. In Colorado, the affected counties are Archuleta, Conejos, La Plata, and Montezuma, and in Utah, it's San Juan County.
Through this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is accessible to small businesses, small agricultural cooperatives, nurseries, and private nonprofits with financial damage tied to the disaster. Agricultural producers, farmers, or ranchers are not eligible unless they operate small aquaculture businesses.
EIDLs are designed to address working capital requirements stemming from the disaster. They can cover fixed debts, payroll, accounts payable, and other essential financial obligations that cannot be met because of the disaster.
"Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover," stated 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."
Loan amounts can reach up to $2 million with interest rates of 4% for small businesses and 3.625% for nonprofits, and terms extending up to 30 years. No interest is accumulated, nor are payments required until 12 months after the first loan disbursement. Loan amounts and terms are determined by the SBA based on each applicant's financial situation.
Interested parties can apply online at sba.gov/disaster or contact the SBA’s Customer Service Center at (800) 659-2955. Emails can be sent to disastercustomerservice@sba.gov for further assistance on SBA disaster support. Telecommunications relay services can be accessed by dialing 7-1-1 for those who are deaf, hard of hearing, or have a speech disability.
Applications must be submitted by December 1.