The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in North Dakota that the deadline to apply for low-interest federal disaster loans related to the drought that started on August 6, 2024, is approaching. The deadline to submit applications is May 30.
The disaster declaration affects the North Dakota counties of Adams, Bowman, Slope, Fallon County in Montana, and Harding County in South Dakota.
The SBA's Economic Injury Disaster Loan (EIDL) program is open to small businesses, small agricultural cooperatives, nurseries, and private nonprofits facing financial losses due to the drought. However, disaster loans are not available to agricultural producers, farmers, or ranchers unless they are small aquaculture enterprises.
EIDLs provide working capital to businesses or nonprofits affected by disasters and can be used to cover fixed debts, payroll, accounts payable, and other obligations. These loans are available even if there was no physical damage to the business or organization.
“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 loans can be as much as $2 million, with interest rates as low as 4% for small businesses and 3.25% for private nonprofits. Terms can extend up to 30 years, with no interest accrual or payment required until 12 months after the first loan disbursement. The amount and terms are determined by an applicant's financial condition.
Applications can be submitted online at sba.gov/disaster. Assistance is available through SBA’s Customer Service Center at (800) 659-2955 or by email at disastercustomerservice@sba.gov. For those who are deaf or hard of hearing, telecommunications relay services can be accessed by dialing 7-1-1.
Completed loan applications must be sent to the SBA by May 30.
The SBA is a resource for American entrepreneurs and small business owners, providing support and resources through its network of field offices and partners. Further information is available at www.sba.gov.