The U.S. Small Business Administration (SBA) is reminding eligible small businesses and private nonprofit organizations in Oklahoma of the approaching deadline to apply for low-interest federal disaster loans. The loans are intended to offset economic losses caused by the drought that began on September 10, 2024.
The deadline for applications is May 16. The geographical scope of the declaration includes several counties in Oklahoma, specifically Alfalfa, Garfield, Grant, Kay, Kingfisher, Logan, Major, Noble, Osage, Pawnee, and Payne. The SBA’s Economic Injury Disaster Loan (EIDL) program is open to small businesses, small agricultural cooperatives, nurseries, and private nonprofits that experienced financial losses due to the drought. However, agricultural producers, farmers, and ranchers, except small aquaculture enterprises, are not eligible for these loans.
These loans are designated for working capital needs arising from the drought. They may be used to cover fixed debts, payroll, accounts payable, and other bills that could not be paid due to the disaster. Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA, commented, “Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover. We’re pleased to offer loans to small businesses and private nonprofits impacted by these disasters.”
The maximum loan amount is $2 million, with interest rates as low as 4% for small businesses and 3.25% for PNPs, and terms extending up to 30 years. There is a deferred interest and payment period of 12 months from the first loan disbursement date. The loan terms and amounts are determined based on each applicant’s financial status.
Applicants are advised to submit loan applications without delay, as processing will occur in the order of receipt. Prompt application is encouraged to ensure efficient processing by the SBA.
Applications can be made online at sba.gov/disaster. For further details, applicants may contact the SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov. Telecommunications relay services are accessible by dialing 7-1-1 for individuals who are deaf, hard of hearing, or have a speech disability. The completed loan applications must be submitted by May 16.