Drought-aid loans available through SBA
January 24, 2014
Small non-farm businesses in Nevada and other states affected by drought may apply for low-interest federal disaster loans from the U.S. Small Business Administration.
The SBA announced in a midweek news release that eligible firms in all 17 of Nevada's counties may apply, adding that some counties in California, Arizona, Idaho and Oregon are eligible as well.
Tanya Garfield, acting director of SBA's disaster field operations center-west, said SBA eligibility covers both the economic impacts on businesses dependent on farmers as well as ranchers who have suffered agricultural production losses. Firms directly affected by the disaster also are covered.
"Eligibility for these loans is based on the financial impact of the disaster only, and not on any actual property damage," said Garfield in the release. "These loans have an interest rate of 4 percent for businesses and 2.875 percent for private, non-profit organizations, (and) a maximum term of 30 years."
The SBA makes such economic injury disaster loans available when the U.S. Department of Agriculture designates an agricultural disaster. That was done Jan. 15. Farmers and ranchers involved directly in agriculture aren't eligible for the SBA help, but have other programs via the USDA.
The deadline for SBA applications is Sept. 15. Applicants may apply online using an electronic loan applications via SBA's secure website at https://disasterloan.sba.gov/ela. Disaster loan information and application forms are also available from the SBA Customer Service Center by calling 800-659-2955.