Small Businesses Can Apply for Disaster Loans

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The U.S. Small Business Administration (SBA) announced Tuesday it's offering loans to some small businesses in the Midwest. Non-farm businesses and non-profit organizations can apply for Economic Injury Disaster Loans (EIDL) of up to two million dollars.

The SBA said in a media release the loans are designed to cut losses from the drought and excessive heat that started in April. Businesses can only qualify based on the disaster's financial impact, not past property damage.

EIDLs have four percent interest rates for businesses, three percent for private non-profits and have a maximum 30 year term.

In KOMU 8 News' viewing area, businesses in counties including Audrain, Boone, Callaway, Camden, Chariton, Cole, Cooper, Gasconade, Macon, Miller, Moniteau, Montgomery, Morgan, Osage, Pettis and Randolph are eligible for EIDLs.

The SBA said it makes these loans available when the U.S. Secretary of Agriculture designates an agricultural disaster. Secretary Tom Vilsack declared this disaster Gov. Jay Nixon's request. Businesses can apply online.