Deadline Approaches in South Dakota for SBA Working Capital Loans Due to Drought | Community
SACRAMENTO, Calif. — Director Tanya N. Garfield of the U.S. Small Business Administration’s Disaster Field Operations Center-West reminds small, non-farm businesses in South Dakota of the deadlines to apply for a federal SBA disaster loan for harm economic.
These low-interest loans are to offset economic losses due to reduced incomes caused by drought in the following key counties.
• Declaration number: 17068
— Main counties: Clay and Hanson
— Neighboring counties: Davison, Hutchinson, Lincoln, McCook, Miner, Sanborn, Turner, Union and Yankton in South Dakota; and Cedar and Dixon in Nebraska
— Type of incident: Drought
— Date of incident: from June 1, 2021
— Deadline: March 28, 2022.
According to Garfield, small non-farm businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private non-profit organizations of any size can apply for economic disaster loans of up to $2 million. to help meet working capital needs caused by disasters.
“Economic disaster loans can be used to pay fixed debts, payroll, accounts payable and other bills that cannot be paid due to the impact of disasters,” Garfield said.
“SBA eligibility covers both economic impacts on businesses dependent on farmers and ranchers who have suffered agricultural production losses caused by disasters and businesses directly affected by disasters. Economic injury assistance is available whether or not the plaintiff has suffered property damage,” Garfield added.
The interest rate is 2.88% for corporations and 2% for private non-profit organizations with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant’s financial situation.
By law, the SBA makes economic disaster loans available when the United States Secretary of Agriculture designates an agricultural disaster. The secretary declared SD statement 17063 on July 16, 2021 and SD statement 17068 on July 26, 2021.
Businesses whose primary business is agriculture or ranching are not eligible for SBA disaster relief. Agricultural businesses should contact the Farm Services Agency about the United States Department of Agriculture assistance made available by the Secretary’s Statement. However, in the event of a drought, nurseries are eligible for SBA disaster assistance.
Applicants can apply online, receive additional disaster assistance information, and download applications at https://disasterloanassistance.sba.gov/. Applicants may also call the SBA Customer Service Center at (800) 659-2955 or email [email protected] for more information about SBA disaster assistance. For people who are deaf, hard of hearing or have a speech impediment, dial 7-1-1 to access telecommunications relay services. Completed applications should be mailed to US Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.