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Businesses and
private nonprofit organizations may borrow up to $2 million to repair
or replace disaster-damaged or destroyed real estate, machinery and
equipment, inventory, and other business assets.
For small
businesses, small agricultural cooperatives, small businesses engaged
in aquaculture and most private nonprofit organizations, the SBA offers Economic Injury Disaster Loans (EIDLs) to
help meet working capital needs caused by the disaster. EIDL assistance
is available regardless of whether the business suffered any physical
property damage.
Loans up to
$500,000 are available to homeowners to repair or replace damaged or
destroyed real estate. Homeowners and renters are eligible for loans up
to $100,000 to repair or replace damaged or destroyed personal
property.
Applicants may
be eligible for a loan amount increase of up to 20 percent of their
physical damages, as verified by the SBA for mitigation purposes.
Eligible mitigation improvements may include a safe room or storm
shelter, sump pump, French drain or retaining wall to help protect
property and occupants from future damage.
“The opportunity
to include measures to help prevent future damage from occurring is a
significant benefit of SBA’s disaster loan program, said Francisco Sánchez, Jr., associate administrator for the
Office of Disaster Recovery and Resilience at the Small Business
Administration. “I encourage everyone to
consult their contractors and emergency management mitigation
specialists for ideas and apply for an SBA disaster loan increase for
funding.”
Interest rates
are as low as 4% for
businesses, 3.25% for
nonprofit organizations, and 2.688% for
homeowners and renters, with terms up to 30 years. Interest does not
begin to accrue, and monthly payments are not due,
until 12 months from the date of the initial disbursement. Loan amounts
and terms are set by the SBA and are based on each applicant’s
financial condition.
To apply online
and receive additional disaster assistance information visit sba.gov/disaster. Applicants may also
call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for
more information on SBA disaster assistance. For people who are deaf,
hard of hearing, or have a speech disability, please dial 7-1-1 to
access telecommunications relay services.
The filing
deadline to return applications for physical property damage is Nov. 8, 2024. The
deadline to return economic injury applications is June 9, 2025.
About the U.S. Small Business Administration
The U.S. Small
Business Administration helps power the American dream of business
ownership. As the only go-to resource and voice for small businesses
backed by the strength of the federal government, the SBA empowers
entrepreneurs and small business owners with the resources and support
they need to start, grow or expand their businesses, or recover from a
declared disaster. It delivers services through an extensive network of
SBA field offices and partnerships with public and private
organizations. To learn more, visit www.sba.gov.
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