Small nonfarm businesses in Donley County are now eligible to apply for low interest federal disaster loans from the US Small Business Administration.
These loans offset economic losses because of reduced revenues caused by adverse weather conditions that occurred in the following primary counties in Texas announced Director Jeffrey Lusk of SBA’s Disaster Field Operations Center-West.
Under Declaration Number 18233, Donley County businesses are eligible due to rain, flooding, hail, and high winds that occurred May 1 through June 5, 2023. The deadline to apply is May 29, 2024
Other counties in the declaration are Bailey, Briscoe, Castro, Deaf Smith, Hale, Parmer, Randall, Swisher, Armstrong, Carson, Cochran, Crosby, Floyd, Hall, Hockley, Lamb, Lubbock, Motley, Oldham and Potter in Texas; and Curry, Quay and Roosevelt in New Mexico
“SBA eligibility covers both the economic impacts on businesses dependent on farmers and ranchers that have suffered agricultural production losses caused by the disasters and businesses directly impacted by the disasters,” Lusk said.
Small nonfarm businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations of any size may qualify for Economic Injury Disaster Loans of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disasters not occurred.
“Eligibility for these loans is based on the financial impact of the disasters only and not on any actual property damage. These loans have an interest rate as low as 4 percent for businesses and 2.375 percent for private nonprofit organizations, a maximum term of 30 years, and are available to small businesses and most private nonprofits without the financial ability to offset the adverse impact without hardship,” Lusk said.
Interest does not begin to accrue until 12 months from the date of the initial disaster loan disbursement. SBA disaster loan repayment begins 12 months from the date of the first disbursement.
By law, SBA makes economic injury available when the US Secretary of Agriculture designates an agricultural disaster. The Secretary declared these declarations on Sept. 29.
Businesses primarily engaged in farming or ranching are not eligible for SBA disaster assistance. Agricultural enterprises should contact the Farm Services Agency about the US Department of Agriculture assistance made available by the Secretary’s declaration. However, nurseries are eligible for SBA disaster assistance in drought disasters.
Applicants may apply online, at https://disasterloanassistance.sba.gov/. Applicants may also call SBA’s Customer Service Center at (800) 659-2955.
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