The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in Michigan of the approaching deadline to apply for federal disaster loans. These loans aim to offset economic losses caused by the frost and freeze that occurred from February 19 to May 14, 2024.
The disaster declaration affects several counties, including Antrim, Benzie, Charlevoix, Crawford, Grand Traverse, Kalkaska, Leelanau, Manistee, Missaukee, Otsego, and Wexford.
Under this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is available to small businesses, small agricultural cooperatives, nurseries, and private nonprofits with financial losses directly related to the disaster. However, agricultural producers such as farmers or ranchers are not eligible for these loans unless they are small aquaculture enterprises.
EIDLs are intended for working capital needs resulting from the disaster. They can be used for fixed debts, payroll expenses, accounts payable, and other bills that could not be paid due to the disaster's impact.
“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.”
Eligible applicants can receive up to $2 million in loans with interest rates as low as 4% for small businesses and 3.25% for private nonprofits. The loan terms can extend up to 30 years. Interest does not accrue nor are payments required until 12 months after the first loan disbursement. The SBA determines loan amounts and terms based on each applicant’s financial condition.
Applications can be submitted online at sba.gov/disaster. For further information on SBA disaster assistance or application procedures, applicants may contact SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov. Individuals who are deaf or hard of hearing can use telecommunications relay services by dialing 7-1-1.
The deadline for submitting economic injury applications is June 10, 2025.