By Scout Nelson
The U.S. Small Business Administration (SBA) continues to offer financial help to small businesses and private nonprofit (PNP) organizations in North Dakota that face losses due to the drought starting on October 1, 2024. The deadline to apply for these federal disaster loans is June 9, 2025.
This loan assistance is available under the SBA’s Economic Injury Disaster Loan (EIDL) program. It supports small businesses, small agricultural cooperatives, nurseries, and PNPs that are dealing with economic damage from the drought.
However, agricultural producers, farmers, and ranchers are not eligible unless they operate a small aquaculture business.
Counties covered under this disaster loan program include Adams, Billings, Bowman, Burke, Divide, Golden Valley, Grant, Hettinger, McKenzie, Mountrail, Sioux, Slope, Stark, and Williams in North Dakota. Also included are Fallon, Richland, Roosevelt, and Sheridan counties in Montana, and Corson, Harding, and Perkins in South Dakota.
The EIDLs are meant to help with working capital needs such as fixed debts, payroll, rent, utilities, and other bills that cannot be paid because of the disaster. These loans are available even if the business or nonprofit did not suffer physical damage.
Eligible businesses can apply for up to $2 million. Interest rates are as low as 4% for small businesses and 3.25% for PNPs. Loan terms can go up to 30 years. Interest does not begin to accrue, and no payments are required, until 12 months after the first loan disbursement.
The SBA sets each loan amount and term based on the financial condition of the applicant. These loans can play an important role in helping businesses and nonprofits recover from the long-term effects of drought.
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Categories: North Dakota, Business, Crops