The U.S. Small Business Administration (SBA) has issued a reminder to private nonprofit organizations in Nebraska about the approaching deadline to apply for federal disaster loans. These loans are intended to help offset economic losses resulting from severe weather events that occurred on July 31, 2024. The deadline for applications is July 21.
This disaster declaration affects several counties in Nebraska, including Cass, Douglas, Lancaster, Sarpy, and Saunders. Under this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is available to nonprofits providing non-critical governmental services that experienced financial setbacks due to the disaster. Eligible organizations include food kitchens, homeless shelters, museums, libraries, community centers, schools, and colleges.
The EIDLs aim to cover working capital needs caused by the disaster and can be used even if no physical damage was sustained. These loans may be applied toward fixed debts, payroll expenses, accounts payable, and other bills not covered because of the disaster.
Chris Stallings from the SBA's Office of Disaster Recovery and Resilience emphasized the importance of these loans: “SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery,” he said. “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 starting at 3.25%, with terms extending up to 30 years. Interest does not accrue nor are payments required until one year after the first loan disbursement. Loan amounts and terms are determined based on each applicant’s financial situation.
The SBA urges applicants to submit their applications promptly as they will be processed in order of receipt. Applications can be submitted online at sba.gov/disaster or through contact with SBA’s Customer Service Center.
Completed loan applications must be submitted by July 21.