WASHINGTON – The U.S. Small Business Administration (SBA) announced the availability of low interest federal disaster loans for Tennessee small businesses, private nonprofits, and residents affected by severe winter storm fern occurring January 22 – 27. The SBA issued a disaster declaration in response to a request received from Gov. Bill Lee on March 23.
The declaration covers the Tennessee counties of Chester, Decatur, Hardin, Henderson, McNairy, and Wayne, and the Alabama county of Lauderdale, as well as Mississippi counties of Alcorn and Tishomingo, which are eligible for both physical damage loans and Economic Injury Disaster Loans (EIDLs) from the SBA.
Businesses and private nonprofits are eligible to apply for business physical disaster loans and may borrow up to $2 million to repair or replace disaster-damaged or destroyed real estate, machinery and equipment, inventory, and other business assets.
Homeowners and renters are eligible to apply for home and personal property loans and may borrow up to $100,000 to replace or repair personal property, such as clothing, furniture, cars, and appliances. Homeowners may apply for up to $500,000 to replace or repair their primary residence.
Applicants may also be eligible for a loan increase of up to 20% of their verified physical damage for mitigation purposes. Eligible mitigation improvements include strengthening structures to protect against high wind damage, upgrading to wind rated garage doors, and installing a safe room or storm shelter to help protect property and occupants from future damage.
“When disasters strike, SBA’s Disaster Loan Outreach Centers play a vital role in helping small businesses and their communities recover,” said Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. “At these centers, SBA specialists assist business owners and residents with disaster loan applications and provide information on the full range of recovery programs available.”
SBA’s EIDL program is available to small businesses, small agricultural cooperatives and private nonprofit (PNP) organizations with financial losses directly related to the disaster. The SBA is unable to provide disaster loans to agricultural producers, farmers, or ranchers, except for small aquaculture enterprises.
EIDLs are for working capital needs caused by the disaster and are available even if the business did not suffer any physical damage. They may be used to pay fixed debts, payroll, accounts payable, and other bills not paid due to the disaster.
Interest rates are as low as 4% for businesses, 3.625% for PNPs, and 2.875% for homeowners and renters, with terms up to 30 years. Interest does not begin to 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.
Beginning Thursday, April 9, SBA customer service representatives will be at the Disaster Loan Outreach Center in the primary county of Hardin to answer questions about SBA’s disaster loan program, explain the application process and help individuals complete their application. Walk-ins are welcome, but you can schedule an in-person appointment in advance at appointment.sba.gov.
The DLOC hours of operation are listed below:
Hardin County
Disaster Loan Outreach Center (DLOC)
Hardin County Emergency Management
400 Armory Ln
Savannah, TN 38372
Opening: Thursday, April 9, 8:00 a.m. to 5:00 p.m.
Hours: Monday – Friday, 8:00 a.m. to 5:00 p.m.
Saturday – 10:00 a.m. to 2:00 p.m.
Permanently Closing: Thursday, April 23, at 4:00 p.m.
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 filing deadline to return applications for physical property damage is June 8. The deadline to return economic injury applications is Jan. 7, 2027.