Time is ticking for Arizona's small businesses and nonprofits reeling from drought-induced economic losses. The U.S. Small Business Administration (SBA) issued a reminder for these entities to apply for federal disaster loans, with the application deadline set for Nov. 25. According to a publication on the state's emergency information network, the eligible regions span multiple states, but in Arizona, the affected counties include Apache, Cochise, Coconino, and several others. Adjacent counties in California, Colorado, Nevada, New Mexico, and Utah also qualify under this declaration.
The drought commencing on Jan. 1 has left many small ventures and private nonprofit organizations in a precarious spot, grappling with economic impacts. The SBA's Economic Injury Disaster Loan (EIDL) program offers a form of alleviation, with availability extending to various organizations, although primary agricultural producers are notably exempt except for those operating small aquaculture enterprises. These loans are intended for organizations struggling with disaster-caused working capital deficits, which can be applied toward their financial obligations, such as fixed debts and payroll, as elucidated by the agency's guidance.
As per the SBA, eligible entities, which encompass faith-based organizations as well, can potentially secure loans up to $2 million. The terms are accommodating, with interest rates set at 4% for small businesses and slightly lower at 3.625% for private nonprofits. Furthermore, as the state emergency information network's report detailed, these loans come with up to 30-year terms and a no-payment grace period extending 12 months after the initial loan disbursement.
To apply, applicants can visit the SBA website or, for additional information, reach out to the SBA's Customer Service Center. Communication options also cater to individuals with disabilities, featuring teleportation relay services accessed via a 7-1-1 dial. Completed loan applications, taking heed of the looming deadline, should be submitted not later than Nov. 25, as the SBA guidance underscores. In these trying times, the EIDL program stands as a crucial lifeline for those whose livelihoods have succumbed to Nature's caprices.
