By Scout Nelson
The U.S. Small Business Administration (SBA) is reminding South Dakota small businesses and private nonprofits that they can still apply for federal disaster relief loans related to severe storms and flooding between June 16 and July 8, 2024. The application deadline is May 27, 2025.
This assistance applies to organizations located in Bon Homme, Clay, Hutchinson, McCook, and Yankton counties, which were affected by strong winds and flooding. Under the Economic Injury Disaster Loan (EIDL) program, eligible small businesses, private nonprofits, small agricultural cooperatives, and aquaculture enterprises can receive help covering their financial losses.
These loans are meant for working capital needs, including expenses such as payroll, fixed debts, and accounts payable that couldn’t be met because of the disaster. It’s important to note that traditional agricultural producers, farmers, or ranchers are not eligible under this program, except for aquaculture.
“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.”
Qualified applicants may borrow up to $2 million with interest rates as low as 4% for small businesses and 3.25% for nonprofits, with repayment terms of up to 30 years. Loan repayment starts 12 months after the first disbursement, allowing time for recovery.
Photo Credit:gettyimages-d-keine
Categories: South Dakota, Business