SBA Drought Relief Loans for North Dakota

By Scout Nelson

The Small Business Administration offers disaster relief loans to help North Dakota small businesses and private nonprofit organizations recover from recent drought conditions. These loans support working capital needs and help cover essential business costs.

The program is available to eligible small businesses, small agricultural cooperatives, nurseries, and private nonprofit groups. Faith-based organizations can also apply. The loans support businesses that face financial loss due to drought even if no physical damage occurs. However, traditional farmers and ranchers are not eligible except for small aquaculture enterprises.

These disaster loans help cover fixed debts, payroll, accounts payable, and other bills that remain unpaid because of drought-related losses. This support helps keep businesses running during recovery.

Eligible counties in North Dakota include Billings, Golden Valley, McKenzie, and Slope. Nearby areas also qualify, expanding access to financial assistance across affected communities.

Loan amounts can reach up to two million dollars. Small businesses can receive interest rates as low as four percent, while private nonprofits may receive rates as low as three point six to five percent. Repayment terms can extend up to thirty years, providing long-term financial relief. Interest does not begin right away, and payments are not required until twelve months after the first loan payment is received.

The SBA determines loan terms based on each applicant’s financial condition. This ensures that loan plans remain fair and manageable.

To apply online, visit sba.gov/disaster. Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. Applicants can also contact the SBA Customer Service Center by phone or email for support. People who are deaf or hard of hearing may access relay services by dialing 7-1-1.

Completed applications must be submitted by February 2, 2026. After this deadline, there is a sixty-day grace period during which applications are still accepted. Early application is encouraged to help businesses recover quickly and continue serving their communities.

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