SBA Disaster Loans Available for Los Angeles Wildfire Recovery

SBA Disaster Loans – California Wildfires

The SBA offers California disaster relief through several types of loans. Each of these California wildfire disaster loans offer financial relief in Los Angeles Kern, Orange, San Bernardino, or Ventura counties and are designed to help affected individuals and businesses recover:

Business Physical Disaster Loans

Available to businesses of all sizes and private nonprofits.
Provides up to $2 million for the repair or replacement of damaged real estate, machinery, equipment, inventory, and other business assets.
Credit scores and SBSS scores will be reviewed to determine eligibility.
Collateral is not a reason for decline, but loans over $50,000 require available collateral.

Economic Injury Disaster Loans (EIDLs)

Business loans up to $2 million available to small businesses, small agricultural cooperatives, and most private nonprofits.
Provides working capital to help businesses cover expenses such as fixed debts, payroll, accounts payable, and operating costs.
Available even if the business did not suffer physical damage.
Businesses can access up to $100,000 in unsecured funds, which can be disbursed immediately after signing loan documents.

Home Disaster Loans

Available to homeowners and renters who suffered property damage.
Homeowners can borrow up to $500,000 to repair or replace damaged real estate.
Homeowners and renters can borrow up to $100,000 to replace damaged or destroyed personal property, including vehicles.
Credit scores are reviewed using Vantage 3.0.

If an applicant receives an initial denial due to credit, there is a path to appeal, which involves a deeper financial review.

SBA Disaster Loans, Who Qualifies?

If you are a business owner, homeowner, or renter in one of the federally declared disaster zones (Los Angeles, Kern, Orange, San Bernardino, or Ventura counties), you are eligible to apply for an SBA disaster loan. Even if your business did not suffer physical damage, you may qualify for an EIDL loan to help cover lost revenue and ongoing expenses.

Existing SBA disaster loans, including COVID-19 EIDLs, do not disqualify applicants from obtaining additional assistance.

What is the interest rate for SBA Disaster Loans and what are the loan terms?

The SBA is offering highly favorable loan terms on their California wildfire disaster loans to ensure accessibility for all those in need:

Businesses: Interest rates as low as 4%.
Private Nonprofits: Interest rates as low as 3.625%.
Homeowners and Renters: Interest rates as low as 2.563%.
Repayment Terms: Loans can be repaid over a period of up to 30 years, based on the applicant’s financial condition.
Deferred Payments: No interest accrues, and payments are deferred for the first 12 months.
No prepayment penalties, meaning borrowers can pay off their loans early without extra fees.
Additional deferments may be possible by working with the SBA’s servicing team.

Loan Requirements

Before applying, it is important to understand the SBA’s credit requirements:

Credit History: Applicants must have a credit history that is acceptable to the SBA. While this can encompass a wide range of credit histories, the SBA strongly encourages everyone to apply.
Repayment Ability: Applicants must demonstrate their ability to repay the loan.
Credit Available Elsewhere: The SBA assesses whether an applicant has sufficient funds or access to private financing. If an applicant is determined to have Credit Available Elsewhere, they may be offered a loan at a higher interest rate.

If an applicant initially receives a loan offer with a higher rate due to Credit Available Elsewhere, they may appeal this determination for reconsideration.

SBA Disaster Loan Application

The SBA urges those affected to apply as soon as possible. SBA Disaster Loan applications are processed in the order they are received, and early applicants will receive priority.

Three Ways to Apply

Online

Apply through the SBA’s Disaster Loan Assistance portal: sba.gov/funding-programs/disaster-assistance/california-wildfires.

By Phone

Call (800) 659-2955 for assistance.

By Email

Contact disastercustomerservice@sba.gov for more information.

In addition, Disaster Recovery Centers will open throughout affected areas, where SBA representatives will be available to provide in-person assistance with applications.

Additional Support & Accessibility

The SBA is committed to ensuring that all affected individuals have access to assistance:

SBA staff will be on the ground to assist applicants at Disaster Recovery Centers.
- LOS ANGELES COUNTY
  Disaster Loan Outreach Center
  Pasadena City College Community Education Center (PCC CEC)
  Multi-Purpose Room
  3035 E. Foothill Blvd., Pasadena, CA 91107
  - Mondays – Fridays, 9 a.m. – 6 p.m.
  - Saturdays, 9 a.m. – 4 p.m.
  - Closed Monday, Jan. 20, in observance of MLK holiday
- VENTURA COUNTY
  Disaster Loan Outreach Center
  Ventura County Community
  Foundation (VCCF)
  Economic Development Collaborative
  4001 Mission Oaks Blvd., Ste. A‑1, Camarillo, CA 93012
  - Mondays – Fridays, 8 a.m. – 5 p.m.
  - Closed Monday, Jan. 20, in observance of MLK holiday
People with hearing or speech disabilities can use 7-1-1 relay services.

Backed by Federal Support

These disaster relief loans are funded through the American Relief Act of 2025, ensuring that adequate financial resources are available to help affected individuals and businesses.

As the fires are ongoing, the road to recovery will be a long process, but the SBA is here to help. If you or your business has been impacted by the California wildfires, applying for an SBA disaster loan could be the critical first step toward rebuilding. With flexible terms, low-interest rates, and dedicated support, these loans provide the financial assistance you need to move forward.

Additional Small Businesses Resources

California IBank Disaster Relief Loan Guarantee Program: Offers loan guarantees of up to 95% for small businesses unable to access traditional financing. www.ibank.ca.gov/small-business/disaster-relief/.
California Rebuilding Fund: Supports small businesses recovering from disasters with flexible, affordable loans. www.connect2capital.com/p/californiarebuildingfund/
Small Business Legal Assistance: Local Small Business Development Centers (SBDCs) and organizations like California Lawyers for the Arts offer free legal advice for wildfire-related business issues. Find an SBDC near you: americassbdc.org
FEMA Small Business Resources: Guides for rebuilding and adapting your business post-disaster. Visit: www.fema.gov/assistance/individual/small-business.
California Small Business Resources for Disaster Recovery: Information on grants, loans, and recovery strategies tailored for California small businesses. Visit: business.ca.gov
SCORE Wildfire Recovery Mentorship: Free, expert mentoring for businesses navigating disaster recovery. Visit www.score.org
Local Chambers of Commerce: Many chambers provide grants, guidance, and connections to resources for small businesses during wildfire recovery.
Google’s Crisis Response for Small Businesses: Temporary advertising credits, tools, and resources to help businesses maintain online visibility. Visit www.google.com/crisisresponse.
Shopify Disaster Assistance Program: Provides financial relief and tools for e-commerce businesses affected by natural disasters. Learn more: www.shopify.com.
Small Business Development Center (SBDC) or the California Office of the Small Business Advocate (CalOSBA) at business.ca.gov.
IRS Tax Relief for Individuals & Businesses: The IRS has announced tax relief for individuals and businesses in southern California affected by wildfires and straight-line winds that began Jan. 7, 2025. https://www.adp.com/spark/articles/2025/01/california-wildfires-tax-relief.aspx

Additional Emergency Relief and Recovery Resources

Red Cross Shelters: www.redcross.org/get-help/disaster-relief-and-recovery/find-an-open-shelter.html.
Cal OES (California Office of Emergency Services): Evacuation orders and local emergency services at www.caloes.ca.gov.
Fema Assistance: Apply for federal disaster aid at www.disasterassistance.gov or call 1-800-621-3362.
Disaster Distress Helpline: Call 1-800-985-5990 or text “TalkWithUs” to 66746 for immediate emotional support.
Feeding America: Locate a food bank near you at www.feedingamerica.org/find-your-local-foodbank.
California HOPE Program: Free crisis counseling available at www.calhope.org or call 1-833-317-HOPE (4673).
ASPCA Disaster Response: www.aspca.org.
California Department of Insurance Wildfire Resource Center: Assistance with insurance claims, policy reviews, and legal questions related to wildfire damage. Visit: www.insurance.ca.gov/. Helpline: 1-800-927-4357.
IRS Tax Relief for Individuals & Businesses: The IRS has announced tax relief for individuals and businesses in southern California affected by wildfires and straight-line winds that began Jan. 7, 2025. https://www.adp.com/spark/articles/2025/01/california-wildfires-tax-relief.aspx

Temporary Housing

211 LA is partnering with Airbnb.org, American Express, and Hilton to coordinate the distribution of emergency housing for people displaced by wildfires.

Those who have already applied with 211LA are eligible and do not need to apply again for this new resource.

Individuals who have not yet applied with 211 LA can complete an application online.

Submit an Emergency Service Request here.

Additional Shelters

Utilities

AT&T: The telecommunications company announced it is offering wildfire areas unlimited data, talk and text through Feb. 6. Visit their official site for a list of valid zip codes.
Verizon: Offering to waive calls, texts and data charges for customers in hardest hit areas. The company also deployed free Wifi and charging stations at three wildfire shelters.

Donate

To contribute financially, please click here to donate to the Pasadena Community Foundation.