WASHINGTON — The U.S.Small Business Administration (SBA)is reminding eligible small businesses and private nonprofit (PNP)organizations in Arizona of the Nov. 25 deadline to apply for low interestfederal disaster loans to offset economic losses caused by drought beginningJan. 1.
The disaster declaration covers the Arizona counties of Apache,Cochise, Coconino, Gila, Graham, Greenlee, La Paz, Maricopa, Mohave, Navajo,Pima, Pinal, Santa Cruz, Yavapai and Yuma as well as the California counties ofImperial, Riverside and San Bernardino, the Colorado county of Montezuma, theNevada counties of Clark and Lincoln, the New Mexico counties of Catron,Cibola, Grant, Hidalgo, McKinley and San Juan, and the Utah counties of Kane,San Juan and Washington.
Under this declaration, SBA’s Economic InjuryDisaster Loan (EIDL) program isavailable to small businesses, small agricultural cooperatives, nurseries, andPNPs including faith-based organizations with financial losses directly relatedto the disaster. The SBA is unable to provide disaster loans to agriculturalproducers, farmers, or ranchers, except for small aquaculture enterprises.
EIDLs are available for working capital needs caused by thedisaster and are available even if the business or PNP did not suffer anyphysical damage. The loans may be used to pay fixed debts, payroll, accountspayable and other bills not paid due to the disaster.
“Through a declaration by the U.S. Secretary ofAgriculture, SBA provides critical financial assistance to help communitiesrecover,” said Chris Stallings, associate administrator of the Office ofDisaster Recovery and Resilience at the SBA. “We’re pleased to offer loans tosmall businesses and private nonprofits impacted by these disasters.”
The loan amount can be up to $2 million with interestrates as low as 4% for small businessesand 3.625% for PNPs with terms up to 30 years. Interest doesnot accrue, and payments are not due until 12 months from the date of the firstloan disbursement. The SBA sets loan amounts and terms based on eachapplicant’s financial condition.
To apply online, visit sba.gov/disaster. Applicants may also call SBA’sCustomer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBAdisaster assistance. For people who are deaf, hard of hearing, or have a speechdisability, please dial 7-1-1 to access telecommunications relay services.
Submit completed loan applications to the SBA no laterthan Nov. 25.
###
About the U.S. Small Business Administration
The U.S. Small Business Administration helps power theAmerican dream of business ownership. As the only go-to resource and voice forsmall businesses backed by the strength of the federal government, the SBAempowers entrepreneurs and small business owners with the resources and supportthey need to start, grow, expand their businesses, or recover from a declareddisaster. It delivers services through an extensive network of SBA fieldoffices and partnerships with public and private organizations. To learn more,visit www.sba.gov.
