The U.S. Small Business Administration (SBA) is reminding small businesses and private nonprofit organizations in New Jersey of the approaching deadline to apply for federal disaster loans. These low-interest loans aim to offset economic losses caused by drought and excessive heat since June 1, 2024. The application deadline is August 11.
This disaster declaration affects several counties in New Jersey, including Atlantic, Burlington, Camden, Gloucester, Mercer, Monmouth, and Ocean. It also covers Bucks and Philadelphia counties in Pennsylvania.
Through the SBA's Economic Injury Disaster Loan (EIDL) program, financial assistance is available to small businesses, agricultural cooperatives, nurseries, and private nonprofits affected by these conditions. However, agricultural producers like farmers or ranchers are not eligible unless they are involved in small aquaculture enterprises.
These EIDLs can be used for working capital needs resulting from the disaster even if there was no physical damage to the business or organization. The loans may cover fixed debts, payroll costs, accounts payable, and other bills that could not be paid due to the adverse conditions.
"Through a declaration by the U.S. Secretary of Agriculture," said Chris Stallings from SBA's Office of Disaster Recovery and Resilience. "We’re pleased to offer loans to small businesses and private nonprofits impacted by these disasters."
Loan amounts can reach up to $2 million with interest rates as low as 4% for small businesses and 3.25% for nonprofits over terms up to 30 years. Interest does not accrue nor are payments required until one year after the first loan disbursement.
To apply online visit sba.gov/disaster or contact SBA’s Customer Service Center at (800) 659-2955 for more information on disaster assistance options.
The final date for submitting economic injury applications is August 11.
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