WASHINGTON – Michigan small businesses, small agricultural cooperatives, small aquaculture businesses, and private nonprofit organizations affected by the severe drought that began on Feb. 20 may apply for low-interest Economic Injury Disaster Loans (EIDLs) from the U.S. Small Business Administration, SBA Administrator Isabel Casillas Guzman announced today.
Administrator Guzman made the loans available in response to a letter from Michigan Governor Gretchen Whitmer on March 22 requesting a disaster declaration by the SBA. Eligible applicants in the declared area can now apply for low-interest disaster loans from the SBA. The declaration covers Ontonagon County and the adjacent counties of Gogebic, Houghton and Iron in Michigan.
“SBA’s mission-driven team stands ready to help Michigan small businesses, small agricultural cooperatives, small aquaculture businesses, and private nonprofit organizations impacted by the incident,” said Administrator Guzman. “We’re committed to providing federal disaster loans swiftly and efficiently, with a customer-centric approach to help businesses and communities recover and rebuild.”
Businesses engaged in hospitality, winter tourism, their suppliers, and those that provide support services to the hospitality and tourism industry should consider the impact of lack of snow, low snow or low precipitation on their revenues and operations this past winter when applying for Economic Inquiry Injury Disaster Loans (EIDL) for drought.
“For eligible applicants, the SBA offers Economic Injury Disaster Loans (EIDLs) to help meet working capital needs caused by the disaster,” said SBA’s Michigan District Director Laketa Henderson.
Interest rates are 4% for businesses and 3.25% percent for nonprofit organizations, with terms up to 30 years. Interest does not begin to accrue, and monthly payments are not due, until 12 months from the date of the initial disbursement. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition.
Applicants may apply online and receive additional disaster assistance information at SBA.gov/disaster. Applicants may also call SBA’s Customer Service Center at (800) 6592955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. For people who are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services.
The filing deadline to return economic injury applications is Dec. 26, 2024.
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About the U.S. Small Business Administration
The U.S. Small Business Administration helps power the American dream of business ownership. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.