Northwest Iowa — Time is running out for northwest Iowa businesses who were affected by last year’s floods to apply for an SBA loan.
Director Jayne Armstrong of the U.S. Small Business Administration’s (SBA) Iowa District Office says is reminding businesses of the April 8, 2015, deadline to apply for an SBA federal disaster loan for economic injury caused by severe storms, flooding, straight-line winds and tornadoes in Lyon and Sioux counties that occurred June 14 – 23, 2014.
According to Armstrong, small nonfarm businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations of any size may apply for Economic Injury Disaster Loans (EIDLs) of up to $2 million to help meet working capital needs caused by the disaster. She says that these particular loans can be used to pay fixed debts, payroll, accounts payable and other bills that cannot be paid because of the disaster’s impact. She says assistance is available regardless of whether the applicant suffered any property damage.
These low-interest federal disaster loans are available in Cherokee, Lyon, O’Brien, Osceola, Plymouth and Sioux counties in Iowa; Nobles and Rock counties in Minnesota; and Lincoln, Minnehaha and Union counties in South Dakota.
The interest rate is 4 percent for businesses and 2.625 percent for private nonprofit organizations with terms up to 30 years. Loan amounts and terms are set by SBA and are based on each applicant’s financial condition.
More information from the SBA:
Applicants may apply online using the Electronic Loan Application (ELA) via SBA’s secure website at https://disasterloan.sba.gov/ela.
For owners of these impacted small businesses, disaster loan information and application forms are also available from SBA’s Customer Service Center by calling toll-free at (800) 659-2955 or emailing disastercustomerservice@sba.gov. Individuals who are deaf or hard‑of‑hearing may call (800) 877‑8339. For more information about SBA’s disaster assistance programs, visit http://www.sba.gov/disaster.
