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SBA Disaster Assistance Loans

The SBA issued a disaster declaration for the state of Iowa as of March 21, 2020 due to the COVID-19 pandemic. The declaration allows pandemic-impacted small businesses to apply for low-interest support loans. The declaration comes after Iowa Governor Kim Reynolds submitted a federal funding request via the SBA’s Economic Injury Disaster Loan program.

TO APPLY: Applications are downloadable via the SBA’s website.

Start Application

WEBINARS

The SBA's Iowa office held webinars to provide an overview of the assistance available to Iowa small businesses. A PDF of the presentation from March 26 is available here.

LOAN TERMS & CONDITIONS

  • SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance per small business and can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
  • These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible. The interest rate for non-profits is 2.75%.
  • SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay. 

ADDITIONAL INFORMATION

On March 17, 2020, the U.S. Small Business Administration (SBA) updated criteria on states for requesting disaster assistance loans for small businesses impacted by Coronavirus (COVID-19).  The relaxed criteria allows for faster, easier qualification process for states seeking SBA disaster assistance and creates exapnded, statewide access to SBA Disaster Assistance loans.

On March 23, 2020, the SBA announced automatic deferments through December 31, 2020 for borrowers still paying back SBA loans from previous disasters.

Program Contact(s)
U.S. Small Business Administration
800.659.2955
disastercustomerservice@sba.gov
 
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