On Friday, the Small Business Administration announced it will offer low-interest federal disaster loans to Colorado small businesses and private nonprofits negatively affected by drought.
The SBA said the program is available to small businesses, small agricultural cooperatives, nurseries, and PNPs (including faith-based organizations) with losses directly related to the drought beginning Nov. 1, 2025. Loans can cover up to $2 million with interest rates as low as 4% for small businesses, said the SBA. For PNPs, they said the interest rate can be as low as 3.625%, with terms of up to 30 years.
The loans are designed to cover working capital needs like paying fixed debts, payroll, accounts payable and other bills that could not be paid due to hardships caused by the drought.
Interest does not accrue, and payments are not due until 12 months after the…
