SBA Offers Low-Interest Disaster Loans to Drought-Impacted Small Businesses

Have you heard that the U.S. Small Business Administration (SBA) now offers low-interest federal disaster loans for small businesses and private nonprofits affected by drought since July 14? If your company has been grappling with the aftermath of a drought, these funding opportunities could provide the relief you need.

Eligibility for SBA’s Low-interest Federal Disaster Loans

Qualifying businesses include small businesses, nonprofits, and small enterprises in the agricultural and aquacultural sectors. If your business falls within these categories, you stand a chance to receive up to $2 million in loan funding. These loans come with enticing interest rates as low as 4%, while private nonprofits can enjoy rates as low as 3.625%.

Repayment Terms of SBA’s Disaster Loans

Not only are the interest rates beneficial, but the repayment terms are quite favorable as well. Loan terms can be set for as long as 30 years, and here’s the best part – no required payments for the first year after funds have been disbursed. This grace period can go a long way in helping your business recover and re-stabilize in the aftermath of a drought.

Counties Eligible for the SBA Drought Disaster Loans

Wondering if your business location qualifies? The eligible counties for these loans include Chelan, Douglas, King, Kittitas, Lincoln, Okanogan, Pend Oreille, Skagit, Snohomish, Spokane, Stevens, and Whitman. If your business is located in any of these areas, you’re in luck.

Deadline for the SBA Disaster Loan Application

It’s crucial to note that the deadline for applying for these loans is May 17, 2027. To apply or gather more information about these loans, interested businesses can click here.