Reed Smith Client Alerts

Key takeaways

  • SBA is offering low-interest loans to L.A. County businesses, homeowners, renters, and private nonprofit organizations affected by recent wildfires and straight-line winds that began January 7, 2025
  • These low-interest loans provide financial relief and support to those affected by helping them cover uninsured or underinsured losses
  • Applicants are encouraged to apply as soon as possible, as SBA will consider applications in order received, with approved funds typically disbursed within 5 to 10 business days

The devastating wildfires in Los Angeles have left many individuals and businesses struggling to rebuild and recover in the aftermath of the disaster. The Small Business Administration (SBA) Disaster Loan Program provides financial assistance to individuals and businesses affected by declared disasters. These low-interest loans aim to cover uninsured or underinsured losses, helping victims return to their pre-disaster conditions. Funding for SBA’s disaster loan program was recently replenished through the American Relief Act of 2025, which was signed into law by President Biden on December 21, 2024. For the Los Angeles wildfires, SBA has authorized financial support to impacted residents and businesses, offering loans for physical damage repairs and economic injury recovery.