Tick-tock—time is running out for Hawaii's small businesses and nonprofit organizations still grappling with the financial wake from last April's storms. The U.S. Small Business Administration (SBA) has set a deadline of February 21, for these entities to secure a federal lifeline in the form of disaster loans. The aid is aimed to ease the economic strain sparked by the severe weather events that battered Hawaii, Honolulu, Kalawao, Kauai, and Maui counties, as detailed on Kauai County official website.
In April 2024, the islands were lashed by harsh storms, flooding, and landslides, prompting the declaration that now underpins the availability of the SBA’s Economic Injury Disaster Loan (EIDL) program. Qualified small businesses, small agricultural cooperatives, nurseries, and private nonprofit organizations that have felt the financial sting directly due to the disaster could apply. So long as these entities didn't suffer physical damage, the loan can be used for a myriad of operational costs, benefitting from terms that stretch up to 30 years. "When disasters strike, businesses and nonprofits face significant challenges," Randle Logan, the acting associate administrator for the SBA’s Office of Disaster Recovery and Resilience, said in a statement echoed by the Kauai County's press release. "These SBA loans provide the financial support they need to manage costs and continue moving forward."
The American Relief Act of 2025 has injected fresh funds into the SBA’s disaster loan program, following President Biden’s signature last December. This means that, for qualified applicants, loans can soar up to $2 million with interest rates as low as 4% for small businesses and 3.25% for PNPs. It's important to point that interest doesn’t accumulate, nor are payments due until one year post the date of the first loan disbursement.
Applications for this aid must be submitted online, a process streamlined through the SBA’s disaster assistance webpage. For assistance beyond the internet, customer service is reachable at (800) 659-2955 or via email at [email protected]. Individuals who are deaf, hard of hearing, or speech-disabled can use telecommunications relay services by dialing 7-1-1. Complete those loan applications without delay, and send them to the SBA as soon as possible.
