The U.S. Small Business Administration (SBA) has issued a reminder to small businesses and most private nonprofit organizations in North Carolina regarding the approaching July 15 deadline for applying for low-interest federal disaster loans. These loans are intended to mitigate economic losses from severe storms and flooding that occurred between September 16 and 20, 2024.
The disaster declaration encompasses several counties: Brunswick, Columbus, New Hanover, and Pender in North Carolina, as well as Horry County in South Carolina. Under this declaration, the SBA's Economic Injury Disaster Loan (EIDL) program is accessible to small businesses and private nonprofits providing non-critical services of a governmental nature affected by financial losses due to the disaster. Eligible organizations include food kitchens, homeless shelters, museums, libraries, community centers, schools, and colleges.
EIDLs aim to cover working capital needs caused by the disaster. The loans can be used even if there was no physical damage to the business or organization. Funds may be allocated for fixed debts, payroll expenses, accounts payable, and other bills not covered because of the disaster.
"SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster," stated Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. "These loans not only help business owners get back on their feet but also play a key role in sustaining local economies in the aftermath of a disaster."
Loan amounts can reach up to $2 million with interest rates set at 4% for small businesses and 3.25% for private nonprofit organizations. The terms can extend up to 30 years. Eligibility is determined based on various factors including applicant size, type of activity, and financial resources.
Applications can be submitted online at sba.gov/disaster. Additional information is available through SBA’s Customer Service Center at (800) 659-2955 or via email at disastercustomerservice@sba.gov. Telecommunications relay services are accessible by dialing 7-1-1 for individuals who are deaf or hard of hearing.
The deadline for returning economic injury applications is July 15, 2025.