Small businesses and most private nonprofit organizations in New York have until August 26 to apply for federal disaster loans following the severe storms and flooding that occurred on August 18-19, 2024. The U.S. Small Business Administration (SBA) has issued a reminder about the approaching deadline for these low-interest loans.
The disaster declaration includes Nassau and Suffolk counties in New York. Through this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is available to small businesses and private nonprofits that provide non-critical services of a governmental nature and have experienced financial losses directly related to the disaster. Eligible organizations include food kitchens, homeless shelters, museums, libraries, community centers, schools, and colleges.
EIDLs are designed to support working capital needs caused by the disaster. Businesses and nonprofits can use these loans to pay fixed debts, payroll, accounts payable, and other bills not paid because of the disaster. These loans are available even if there was no physical damage to the business or organization.
“SBA loans help eligible small businesses and private nonprofits cover operating expenses after a disaster, which is crucial for their recovery,” said 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 be up to $2 million with interest rates set at 4% for small businesses and 3.25% for private nonprofit organizations. Repayment terms can extend up to 30 years. Eligibility is determined by factors such as applicant size, type of activity, and financial resources. The SBA sets loan amounts and terms based on each applicant’s financial condition.
Applications can be submitted online at sba.gov/disaster or by contacting SBA’s Customer Service Center at (800) 659-2955 or via email at disastercustomerservice@sba.gov. Telecommunications relay services are available by dialing 7-1-1 for those who are deaf, hard of hearing, or have a speech disability.
The final deadline to submit economic injury applications is August 26, 2025.
The U.S. Small Business Administration supports entrepreneurs with resources needed to start or recover from disasters through its field offices and partnerships with public and private organizations. More information about SBA programs can be found at www.sba.gov.