SBA offers disaster relief loans to Missouri nonprofits hit by March storms

SBA offers disaster relief loans to Missouri nonprofits hit by March storms

Economics
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Isabel Casillas Guzman 27th Administrator of the U.S. Small Business Administration | www.sba.gov

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The U.S. Small Business Administration (SBA) has announced the availability of low-interest federal disaster loans for private nonprofit organizations in Missouri affected by severe storms, straight-line winds, tornadoes, and wildfires that occurred on March 14-15.

This disaster declaration applies to several Missouri counties including Bollinger, Butler, Callaway, Carter, Dunklin, Franklin, Howell, Iron, Madison, New Madrid, Oregon, Ozark, Perry, Phelps, Reynolds, Ripley, Scott, Shannon, Stoddard and Wayne.

Under this declaration from the SBA's Office of Disaster Recovery and Resilience led by Chris Stallings: "SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster," providing essential support for recovery efforts. Eligible PNPs can apply for business physical damage loans and Economic Injury Disaster Loans (EIDLs). These include food kitchens, homeless shelters as well as museums among others.

PNPs may borrow up to $2 million to repair or replace damaged real estate or equipment. An additional loan increase of up to 20% is possible for mitigation purposes if verified by the SBA. EIDLs cater to working capital needs due to disasters even without physical damages being incurred.

Interest rates are set at 3.62% with terms extending up to 30 years; no interest accrues nor payments required until twelve months post-disbursement date—the loan amount determined based on each applicant’s financial status.

Applicants should submit their applications promptly online via sba.gov/disaster or contact the Customer Service Center at (800) 659-2955 for further assistance. The deadline for returning physical damage applications is July 21 while economic injury application returns are due February next year—February 23rd specifically.

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