Governor Janet Mills is encouraging small businesses in several Maine counties to apply for newly available Economic Injury Disaster Loans (EIDL) through the U.S. Small Business Administration (SBA). Farm-related entities in Androscoggin, Aroostook, Franklin, Kennebec, Oxford, Penobscot, Piscataquis, Somerset and Waldo counties that have suffered financial losses as a result of the drought that began in Maine on June 22nd are eligible for low-interest loans from the SBA, the agency announced today.
“This summer Maine has seen some of the warmest and driest weather on record, resulting in droughts that damaged crops for many local farmers,” said Governor Mills. “I encourage any Maine business impacted by drought conditions in the eligible counties to see if they qualify for an economic injury disaster loan from the Small Business Association and to apply for direct financial relief today.”
Under this declaration, eligible businesses may apply for Economic Injury Disaster Loans (EIDL) of up to $2 million with interest rates of 2.88 percent for small businesses and 2 percent for private nonprofit organizations of all sizes, with terms up to 30 years. The SBA determines eligibility based on the size of the applicant, type of activity and its financial resources. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition. These working capital loans may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits.
Disaster loan information and application forms may also be obtained by calling the SBA’s Customer Service Center at 800-659-2955 (800-877-8339 for the deaf and hard-of-hearing) or by sending an email to DisasterCustomerService@sba.gov. Loan applications can be downloaded from sba.gov/disaster. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
Eligible entities must submit completed loan applications to the SBA no later than April 13, 2022.