The U.S. Small Business Administration (SBA) announced that low-interest federal disaster loans are now available to small businesses and private nonprofit organizations in Nevada affected by the drought that began on February 11. These loans aim to aid those that have sustained economic losses due to this natural disaster.
The counties covered under this declaration in Nevada include Elko, Eureka, Humboldt, Lander, Lincoln, Nye, and White Pine. In addition, the declaration includes the Idaho counties of Cassia, Owyhee, and Twin Falls, as well as the Utah counties of Box Elder, Juab, Millard, and Tooele.
SBA’s Economic Injury Disaster Loan (EIDL) program is designed to support small businesses, small agricultural cooperatives, nurseries, and private nonprofits that have faced financial difficulties directly related to the drought. However, agricultural producers, farmers, and ranchers are generally not eligible for these loans, excluding small aquaculture enterprises.
These loans are intended for working capital needs resulting from the disaster, even if no physical damage occurred to the business or organization. The funds may go toward covering fixed debts, payroll, accounts payable, and other outstanding bills caused by the drought.
“Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover,” stated Chris Stallings, the 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.”
Eligible applicants can receive up to $2 million in loans, with interest rates as low as 4% for small businesses and 3.625% for private nonprofits. Loan terms can extend up to 30 years. Interest does not begin to accrue, and payments are not required until 12 months after the first loan disbursement. The SBA determines loan amounts and terms based on each applicant's financial status.
Applications can be submitted online at sba.gov/disaster. Additionally, SBA’s Customer Service Center can be reached at (800) 659-2955 or by email at disastercustomerservice@sba.gov for further information on disaster assistance. Telecommunications relay services can be accessed by dialing 7-1-1 for those who are deaf, hard of hearing, or have a speech disability.
Completed loan applications must be submitted to the SBA by December 9.
The U.S. Small Business Administration continues to be a crucial resource for small businesses, providing support and resources needed to navigate ownership, expansion, and recovery processes following a declared disaster. More information can be found on their website, www.sba.gov.