Important Reminder for Texas Small Businesses

Associate Administrator Francisco Sánchez of the U.S. Small Business Administration’s Office of Disaster Recovery & Resilience is issuing a crucial reminder to Texas small businesses. The deadline of Feb. 26, 2024, is approaching for businesses in Cameron County to apply for SBA federal disaster loans, addressing economic injury caused by severe storms and a tornado on May 13, 2023.

Eligibility and Assistance Details for Economic Injury Disaster Loans

Sánchez emphasizes that small nonfarm businesses, small agricultural cooperatives, small businesses in aquaculture, and most private nonprofit organizations, regardless of size, are eligible to apply for Economic Injury Disaster Loans of up to $2 million. These loans aim to assist in meeting working capital needs arising from the economic impact of the disaster. Importantly, economic injury assistance is available even if the applicant did not experience any property damage.

Loan Terms and Application Process

The low-interest federal disaster loans are available in Cameron, Hidalgo, and Willacy counties. Interest rates stand at 4 percent for businesses and 2.375 percent for private nonprofit organizations, with terms extending up to 30 years. Loan amounts and terms are determined by SBA based on each applicant’s financial condition. Notably, interest accrual begins only 12 months from the date of the first disaster loan disbursement, and repayment commences 12 months from the same date.

How to Apply for SBA Disaster Assistance

Applicants can conveniently apply online and access additional disaster assistance information at SBA.gov/disaster. For more details on SBA disaster assistance, individuals may also contact SBA’s Customer Service Center at (800) 659‑2955 or email disastercustomerservice@sba.gov. Those with hearing impairments or speech disabilities can dial 7-1-1 to access telecommunications relay services. It is crucial for eligible businesses to act promptly to meet the approaching application deadline and secure the necessary support for recovery.

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