The U.S. Small Business Administration (SBA) has issued a reminder for eligible private nonprofit organizations in Nebraska regarding the upcoming deadline of May 20 to apply for low-interest federal disaster loans. These loans are intended to mitigate economic losses resulting from severe storms, straight-line winds, tornadoes, and flooding that occurred between May 20 and June 3, 2024.
The disaster declaration applies to the Nebraska counties of Burt, Butler, Colfax, Dodge, Douglas, Dundy, Fillmore, Hamilton, Hayes, Hitchcock, Howard, Keith, Lincoln, Platte, Polk, Red Willow, Sarpy, Saunders, and Washington.
The SBA's Economic Injury Disaster Loan (EIDL) program is available for private nonprofits providing non-critical services of a governmental nature that have suffered financially due to the disaster. Qualifying entities include food kitchens, homeless shelters, museums, libraries, community centers, schools, and colleges.
EIDLs are offered to address working capital needs arising from the disaster and are available even when no physical damage has occurred. The loans can be used to cover fixed debts, payroll, accounts payable, and other financial obligations unmet because of the disaster.
“SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery,” stated Chris Stallings, the SBA's associate administrator of the Office of Disaster Recovery and Resilience. “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.”
Loan amounts can reach up to $2 million, with interest rates as low as 3.25% and repayment terms extending up to 30 years. Interest and payments are deferred for 12 months from the first loan disbursement date. The SBA determines the specifics of loan amounts and terms based on each applicant's financial circumstances.
The SBA urges applicants to submit loan applications promptly, as they will be processed in the order received. The agency is committed to handling applications as efficiently as possible.
Applications can be submitted online at sba.gov/disaster. Additional information is available via the SBA's Customer Service Center at (800) 659-2955 or by emailing disastercustomerservice@sba.gov. Telecommunications relay services can be used by dialling 7-1-1 for those who are deaf, hard of hearing, or have a speech disability. Completed applications must be submitted to the SBA by May 20.
The U.S. Small Business Administration, responsible for supporting small businesses, provides resources and support to help these entities recover from disasters. More information about the SBA is available at www.sba.gov.