The U.S. Small Business Administration (SBA) is reminding private nonprofit organizations in Iowa about the upcoming deadline to apply for federal disaster loans. These loans are intended to address physical damage from a severe winter storm that occurred on March 19. The deadline for applications is July 22.
The disaster declaration applies to Crawford, Harrison, Monona, and Woodbury counties in Iowa. Private nonprofits providing services of a governmental nature can apply for business physical disaster loans. These organizations may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory, and other assets.
Applicants might qualify for an increase in loan amounts by up to 20% of their physical damages verified by the SBA for mitigation purposes. Possible improvements include insulating pipes, walls and attics, weather stripping doors and windows, and installing storm windows.
“One distinct advantage of SBA’s disaster loan program is the opportunity to fund upgrades reducing the risk of future storm damage,” stated Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. He encourages businesses and homeowners to work with contractors and professionals on improving storm readiness while utilizing SBA's mitigation loans.
Private nonprofits are also eligible for Economic Injury Disaster Loans (EIDLs) aimed at meeting working capital needs like fixed debts, payroll, accounts payable, and other bills not covered due to the disaster. EIDL assistance does not require any physical property damage.
Interest rates on these loans can be as low as 3.62%, with repayment terms extending up to 30 years. Interest accrual begins one year after the first loan disbursement date. Loan amounts and terms depend on each applicant's financial condition.
The SBA advises applicants to submit their applications promptly since they will be processed in order of receipt. Applications can be submitted online via sba.gov/disaster or by contacting SBA’s Customer Service Center at (800) 659-2955 or emailing disastercustomerservice@sba.gov.
The deadline for returning physical damage applications is July 22, 2025, while economic injury applications must be returned by February 23, 2026.
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