Deadline to apply for SBA disaster loans for 2024 drought is Nov. 25

The deadline to apply for the Small Business Administration's (SBA) low interest disaster relief funds for small businesses and private nonprofits that were affected by the drought of December 2024 is Nov. 25. 

Black Belt communities that are part of the disaster declaration area are: 

Butler, Choctaw, Clarke, Crenshaw, Dallas, Greene, Hale, Lowndes, Marengo, Montgomery, Perry, Pickens, Sumter, and Wilcox. 

In addition to small businesses and private nonprofits, small agricultural cooperatives and nurseries are eligible. Loans can be used to pay fixed debts, payroll, accounts payable, and other bills. 

"Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial assistance to help communities recover," said Chris Stallings, associate administrator of the Office of Disaster Recover and Resilience at the SBA. "We're pleased to offer loans to small businesses and private nonprofits impacted by these disasters."

Loans can be up to $2 million with interest rates of 4% for small businesses and 3.625% for private nonprofits. Terms are up to 30 years. A statement from the SBA said that interest does not accrue and payments are not due until 12 months from the date of the first loan. 

To apply, visit sba.gov/disaster, call the SBA Customer Service Center at 800-659-2955 or email disastercustomerservice@sba.gov. Those who are deaf, hard of hearing or have speed impediments may 7-1-1 to access telecommunications relay services. 

There is a 60-day grace period for the SBA to accept applications after Nov. 25.