The U.S. Small Business Administration (SBA) has issued a reminder to small businesses and private nonprofit organizations in North Dakota about the approaching deadline to apply for federal disaster loans. These loans aim to mitigate economic losses due to the drought that began on October 8, 2024. The application deadline is June 16.
This disaster declaration encompasses several counties in North Dakota, including Billings, Dunn, Golden Valley, McKenzie, Mountrail, Slope, Stark, and Williams. It also covers the Montana counties of Fallon, Richland, Roosevelt, and Wibaux.
Through this declaration, the SBA's Economic Injury Disaster Loan (EIDL) program is accessible to small businesses, small agricultural cooperatives, nurseries, and private nonprofits with financial losses directly linked to the drought. However, agricultural producers such as farmers or ranchers are not eligible unless they operate small aquaculture enterprises.
The EIDLs provide working capital support for needs arising from the disaster. They can be used for expenses like fixed debts, payrolls, accounts payable, and other bills affected by the drought impact. Chris Stallings of 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.
Loan amounts 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 accrual or payments required until one year after the first loan disbursement. The specific loan amounts and terms depend on each applicant’s financial situation.
Interested applicants can apply online at sba.gov/disaster or contact SBA’s Customer Service Center at (800) 659-2955 for more information on disaster assistance options available through SBA.
###