SBA Offers Relief to North Carolina Businesses and Private Nonprofits Affected by Drought

OFFICE OF DISASTER RECOVERY & RESILIENCE
 

Release Date: June 8, 2026
Release Number: NC-20027-01 Contact: Sherrell.Pyatt@sba.gov

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SBA Offers Relief to North Carolina Businesses

and Private Nonprofits Affected by Drought

Low-interest disaster loans now available
 

WASHINGTON —The U.S. Small Business Administration (SBA) announced the availability of

low-interest federal disaster loans to small businesses and private nonprofit (PNP) organizations

in North Carolina to offset economic losses caused by a drought beginning on April 14.
 

The disaster declaration covers the North Carolina counties of Alamance, Chatham, Durham,

Franklin, Granville, Harnett, Hoke, Johnston, Lee, Moore, Nash, Orange, Person, Randolph,

Richmond, Robeson, Scotland, Vance, and Wake, and the South Carolina county of Marlboro,

as well as the Virginia counties of Halifax and Mecklenburg.
 

Under this declaration, the SBA’s Economic Injury Disaster Loan (EIDL) program is available to

eligible small businesses, small agricultural cooperatives, nurseries, and PNPs — including

faith-based organizations — with financial losses directly related to this disaster. The SBA is

unable to provide disaster loans to agricultural producers, farmers, or ranchers, except for

aquaculture enterprises.

EIDLs are available for working capital needs caused by the disaster and are available even if

the small business or PNP did not suffer any physical damage. The loans may be used to pay

fixed debts, payroll, accounts payable, and other bills which could not be paid due to the

disaster.

“Through a declaration by the U.S. Secretary of Agriculture, SBA provides critical financial

assistance to help communities recover,” said Chris Stallings, Associate Administrator of the

Office of Disaster Recovery and Resilience at the SBA. “We’re pleased to offer loans to small

businesses and private nonprofits impacted by these disasters.”

The loan amount can be up to $2 million with interest rates as low as 4% for small businesses

and 3.625% for PNPs, with terms of up to 30 years. Interest does not accrue, and payments

are not due until 12 months from the date of the first loan disbursement. The SBA sets loan

amounts and terms based on each applicant’s financial condition.

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. For people who are deaf, hard of hearing, or have a speech disability,

please dial 7-1-1 to access telecommunications relay services.

The deadline to return economic injury applications is Feb. 1, 2027.
 

About the U.S. Small Business Administration

The U.S. Small Business Administration helps power the American dream of business

ownership. As the only go-to resource and voice for small businesses backed by the strength

of the federal government, the SBA empowers entrepreneurs and small business owners with

the resources and support they need to start, grow, expand their businesses, or recover from

a declared disaster. It delivers services through an extensive network of SBA field offices and

partnerships with public and private organizations. To learn more, visit www.sba.gov.