The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in New Mexico of the approaching deadline to apply for federal disaster loans. These loans are intended to offset economic losses resulting from severe storms and flooding that occurred on October 19-20, 2024. The application deadline is August 1, 2025.
The disaster declaration includes the New Mexico counties of Chaves, De Baca, Eddy, Lea, Lincoln, Otero, and Roosevelt. Under this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is accessible to small businesses, small agricultural cooperatives, nurseries, and private nonprofits with financial losses directly linked to the disaster. However, the SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers unless they are small aquaculture enterprises.
These EIDLs are available for working capital needs caused by the disaster and can be used even if no physical damage was suffered by the business or nonprofit. The funds may cover fixed debts, payrolls, accounts payable, and other unpaid bills due to the disaster.
“SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery,” 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.”
Eligible applicants can receive up to $2 million in loan amounts with interest rates as low as 4% for small businesses and 3.25% for private nonprofits over terms up to 30 years. Interest does not accrue nor are payments required until 12 months after the first loan disbursement. The SBA determines loan amounts and terms based on each applicant's financial situation.
Applications can be submitted online at sba.gov/disaster or by calling SBA’s Customer Service Center at (800) 659-2955. Alternatively, emails can be sent to disastercustomerservice@sba.gov for more information on SBA disaster assistance. Those who are deaf or hard of hearing may dial 7-1-1 to access telecommunications relay services.
Completed loan applications must be submitted to the SBA by August 1.