The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in Arkansas of the approaching deadline to apply for federal disaster loans. These loans aim to mitigate economic losses caused by adverse weather conditions that occurred in July and August 2024.
The SBA has issued disaster declarations for specific counties affected by these weather events. Jefferson County, along with neighboring counties such as Arkansas, Cleveland, Grant, Lincoln, Lonoke, and Pulaski, experienced excessive rain and high winds on July 8-9, 2024. Pope County and its surrounding areas including Conway, Johnson, Logan, Newton, Searcy, Van Buren, and Yell faced high winds and lightning from August 16-18, 2024.
Eligible entities under this declaration can access the SBA’s Economic Injury Disaster Loan (EIDL) program. This program provides financial assistance to small businesses, small agricultural cooperatives, nurseries, and private nonprofits that suffered financial losses due to the disasters. However, it does not extend to agricultural producers like farmers or ranchers unless they are small aquaculture enterprises.
Chris Stallings from the Office of Disaster Recovery and Resilience at the SBA stated: “Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover.” He added that they are pleased to offer loans to those impacted by these disasters.
Loans can reach up to $2 million with interest rates as low as 4% for small businesses and 3.25% for private nonprofits. The terms can extend up to 30 years with no interest accruing or payments required until one year after the first loan disbursement. The loan amounts are determined based on each applicant's financial condition.
Applications must be submitted online or through other available channels by June 16. For more information or assistance with applications, applicants can visit sba.gov/disaster or contact SBA’s Customer Service Center.