Small non-farm businesses in Newton and McDonald counties may apply for low-interest disaster loans from the U.S. Small Business Administration in connection with disasters in neighboring counties in Oklahoma.

According to Alfred E. Judd, director of SBA’s disaster field operations center – west, these disaster loans offset economic losses because of reduced revenues caused by adverse weather conditions in 40 Oklahoma counties, including Ottawa which borders Newton and McDonald counties in Missouri. These conditions included ice storms, low temperatures, frost and freezes from Dec. 8, 2007, until Oct. 31, 2008.

Small businesses and most private, non-profit organizations of any size may apply for Economic Injury Disaster Loans (EIDLs) of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred.

“Eligibility for these loans is based on the financial impact of the disaster only and not on any actual property damage,” Judd said. “These loans have an interest rate of 4 percent, a maximum term of 30 years and are restricted to small businesses without the financial ability to offset the adverse impact without hardship.”

By law, SBA makes EIDLs available when the U.S. Secretary of Agriculture designates an agricultural disaster. Secretary Ed Schafer declared these disasters at the request of Oklahoma Gov. Brad Henry.

Businesses primarily engaged in farming or ranching are not eligible for SBA disaster assistance.
Agricultural enterprises should contact the Farm Services Agency (FSA) about USDA assistance made available by Schafer’s declaration.

Information and application forms are available from the SBA’s Customer Service Center by calling (800) 877-8339. An electronic loan application is available through SBA’s secure Web site at https://disasterloan.sba.gov/ela.

Deadline for applications is Sept. 2.