The lights can come back on before a business gets back on its feet. For Gary owners working through the financial aftermath of August’s storms, federal disaster lending offers a possible route to recovery—even when the storefront itself escaped damage.
The U.S. Small Business Administration announced assistance on August 28, 2026, following an August 25 presidential disaster declaration. Lake County, which includes Gary, is among the primary counties covered for severe storms, straight-line winds, tornadoes and flooding beginning August 11. This is an existing recovery program that remains open for applications, rather than a newly announced funding round. SBA announcement
Economic Injury Disaster Loans, commonly called EIDLs, address the financial disruption a disaster creates. Eligible small businesses and most private nonprofits may qualify when the disaster leaves them unable to meet ordinary and necessary operating obligations. Physical damage is not required. Eligible uses include working capital, rent, utilities and fixed debt payments. SBA program guidance
That distinction matters for a neighborhood shop whose doors remained intact but whose operations were interrupted. As an illustrative example, a prolonged outage could prevent a business from operating while bills continue arriving. Whether that particular business qualifies depends on its records and SBA’s assessment; an interruption alone does not guarantee approval.
The Indiana fact sheet lists a fixed EIDL rate of 4% for businesses and small agricultural cooperatives, and 3.625% for eligible nonprofits. Repayment terms can extend up to 30 years, with the actual term based on repayment ability. Applicants need a credit history acceptable to SBA and must demonstrate that they can repay. SBA must also determine that eligible recovery financing is unavailable from non-government sources. Official disaster fact sheet
The headline ceiling is $2 million, but that figure is not a standard award. SBA bases the amount on demonstrated economic injury and other recoveries, including business-interruption insurance. The statutory business limit generally covers combined disaster lending for the business and its affiliates for the same disaster.
Owners also need to distinguish two application deadlines. Economic-injury applications are due May 25, 2027. Applications for physical-damage loans are due October 25, 2026. Indiana’s disaster resource page lists both dates. Indiana Department of Homeland Security
For an owner preparing to apply, a practical starting point is organizing financial records, ordinary expenses, insurance information and evidence of how the storm interrupted operations. This is preparation guidance, not a complete list of documents SBA will require.
These funds carry repayment obligations. EIDL proceeds cannot be used for business expansion, purchasing fixed assets or repairing physical damage. A decline in expected profits alone does not establish qualifying economic injury. The program is designed to help an eligible business meet necessary obligations during recovery.
Start at SBA.gov/disaster to access the official application portal and confirm the applicable declaration. SBA’s customer service number is 800-659-2955. For Gary’s business community, the useful question is whether documented storm-related hardship fits the program—not whether every applicant can collect the maximum loan.
