Disaster Assistance Available for North Dakota Small Businesses
Economic Injury Loans for Small Businesses
Release Date: October 26, 2012
Release Number: ND 13357-01
Media Contact: Richard Jenkins
Phone: (916) 735-1500
Sacramento, Calif. – Small, nonfarm businesses in eight North Dakota counties are now eligible to apply for low interest, federal disaster loans from the U. S. Small Business Administration (SBA). “These loans offset economic losses because of the drought that occurred from August 28 through October 22, 2012, in the following primary North Dakota county,” announced Alfred E. Judd, Director of SBA’s Disaster Field Operations Center-West.
Primary North Dakota county: Stark;
Neighboring North Dakota counties: Billings, Dunn, Grant, Hettinger, Mercer, Morton, Slope.
“SBA eligibility covers both the economic impacts on businesses dependent on farmers and ranchers that have suffered agricultural production losses caused by the disaster, and businesses directly impacted by the disaster,” Judd 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 (EIDLs) of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred.
“Eligibility for these loans is based on the financial impact of the disaster only and not on any actual property damage. These loans have an interest rate of 4% for businesses and 3% 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,” Judd said.
By law, SBA makes EIDLs available when the U. S. Secretary of Agriculture designates an agricultural disaster. Secretary Tom Vilsack declared this disaster on October 24, 2012.
Businesses primarily engaged in farming or ranching are not eligible for SBA disaster assistance. Agricultural enterprises should contact the Farm Services Agency (FSA) about the U. S. Department of Agriculture (USDA) assistance made available by the Secretary’s declaration. However, in drought disasters nurseries are eligible for SBA disaster assistance.
Applicants may apply online using the Electronic Loan Application (ELA) via SBA’s secure Web site at https://disasterloan.sba.gov/ela.
Disaster loan information and application forms are also available from SBA’s Customer Service Center by calling SBA toll-free at (800) 659-2955, emailing email@example.com, or visiting SBA’s Web site at www.sba.gov/services/disasterassistance. Individuals who are deaf or hard-of-hearing may call (800) 877-8339.
The deadline to apply for these loans is June 24, 2013.
SBA Field Operations Center - West, P.O. Box 419004, Sacramento, CA 95841