The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in North Carolina about the approaching deadline to apply for federal disaster loans. These loans aim to offset economic losses caused by drought and extreme heat that occurred from May 7 to August 8, 2024.
This disaster declaration affects several counties in North Carolina, including Camden, Currituck, Dare, Gates, Pasquotank, Perquimans, as well as Chesapeake, Suffolk, and Virginia Beach in Virginia.
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, the SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers unless they are small aquaculture enterprises.
EIDLs are intended for working capital needs resulting from the disaster and can be used even if there was no physical damage. The funds may cover fixed debts, payroll, accounts payable, and other bills not paid due to the disaster.
“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 loan amount can reach up to $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. Interest does not accrue nor are payments due until 12 months after the first loan disbursement. The SBA determines loan amounts and terms based on each applicant’s financial condition.
To apply online visit sba.gov/disaster. Applicants may also contact SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. For those who are deaf or hard of hearing or have a speech disability, please dial 7-1-1 for telecommunications relay services.
The deadline for submitting economic injury applications is July 7, 2025.