Stream Lined - SBA loan application , New SBA Paycheck Protection Loan, Restaurant Worker Aid

[easyrider]

This loan application came out last night. It streamlines the waiting period. If you filled out the other application filling this out doesn't hurt. It gets the stimulus money of $10,000 to the you in three days after they review the application.

My other thread was shut down because a few people feel they need to add their political comments. Keep the heck off this thread. Go at each other elsewhere. There may be more relief packages for business owners, workers and others that will be approved soon and I would like to keep this info all together.

Bill

COVID-19 Economic Injury Disaster Loan | U.S. Small Business Administration

covid19relief.sba.gov

 

[easyrider]

This is a link to the States unemployment pages.

Bill
How Do I File for Unemployment Insurance? | U.S. Department of Labor
The U.S. Department of Labor's unemployment insurance programs provide unemployment benefits to eligible workers who become unemployed through no fault of their own and meet certain other eligibility requirements. Unemployment insurance is a joint state-federal program that provides cash...

www.dol.gov
Unemployment Eligibility | Qualify for Unemployment Requirements
Unemployment eligibility guide to see if you qualify to collect unemployment benefits with lists of requirements and special cases for receiving unemployment.

governmenty.com

Last edited: Yesterday at 3:08 PM
http://tugbbs.com/forums/showthread.php?t=95156&highlight=1000

"Oh courage. Oh yes! If only one had that. Then life might be livable, in spite of everything."

 

[rhonda]

If I recall correctly, yesterday's thread had a link to a video story about the SBA process. Do you still have that link handy? Thx!

 

[easyrider]

If I recall correctly, yesterday's thread had a link to a video story about the SBA process. Do you still have that link handy? Thx!

There is this one for the $10,000 SBA loan that is forgivable. If you are using a laptop Kevin has placed links to the sba and the forms under the video.

 

[easyrider]

This video describes how to get the sba paycheck protection loan. You will need to apply at a bank when this loan is available.

Bill

 

[easyrider]

There is a new restaurant worker aid amount of $500. This application opens on April 2.

Bill

Restaurant Employee Relief Fund

The Restaurant Employee Relief Fund (RERF) provided grants to more than 43,000 restaurant industry employees who experienced hardship in the wake of the coronavirus (COVID-19) outbreak. The Fund is now closed for new applications and our team is busy ensuring all awardees receive and access...

rerf.us

 

[easyrider]

The new SBA application is being used to get the $10,000 EIDL funds. I already used the streamlined form as well as the original. It looks like the SBA is on this. Here is a recent email from the SBA.

Bill

We know you are facing challenging times in this current health crisis. The U.S. Small Business Administration is committed to help bring relief to small businesses and nonprofit organizations suffering because of the Coronavirus (COVID-19) pandemic. On March 27, 2020, President Trump signed into law the CARES Act, which provided additional assistance for small business owners and non-profits, including the opportunity to get up to a $10,000 Advance on an Economic Injury Disaster Loan (EIDL). This Advance may be available even if your EIDL application was declined or is still pending, and will be forgiven. If you wish to apply for the Advance on your EIDL, please visit www.SBA.gov/Disaster as soon as possible to fill out a new, streamlined application. In order to qualify for the Advance, you need to submit this new application even if you previously submitted an EIDL application. Applying for the Advance will not impact the status or slow your existing application. Also, we encourage you to subscribe to our email updates via www.SBA.gov/Updates and follow us on Twitter at @SBAgov for the latest news on available SBA resources and services. If you need additional assistance, you can find your local SBA office and resource partners at www.SBA.gov/LocalAssistance. If you have questions, you may also call 1-800-659-2955.​

 

[easyrider]

Recently passed CARES ACT pdf. This explains many things about how and what the loans, Federal Unemployment and loan forgiveness are about.

Bill

https://www.sbc.senate.gov/public/_cache/files/9/7/97ac840c-28b7-4e49-b872-d30a995d8dae/F2CF1DD78E6D6C8C8C3BF58C6D1DDB2B.small-business-owner-s-guide-to-the-cares-act-final-.pdf

 

[easyrider]

Paycheck Protection Program application explanation. The application goes into the system and then a bank contacts you to enroll.

Bill

 

[pedro47]

Not all small business owners apply for a SBA loan to start their business.
Guess who may not receive help from our government?

Let wait and see what happen with this stimulus package and what small business received this money.

 

[presley]

Thank you!!

My other thread was shut down because a few people feel they need to add their political comments. Keep the heck off this thread.

I've been fascinated by some of this type of stuff on the internet. It seems like it's really easy to pick out who is capable of social distancing and who isn't, even if it's online.

 

[easyrider]

Guess who may not receive help from our government?

Please keep the Politics out of this thread !!!! If your comments are not about how to acquire financial help go elsewhere with them.

Some random thoughts about the SBA Loans. I think that because of the conflicting issues between the SBA policies and the BILL that passed it will take longer than the original 3 days to send anyone a check. In fact, the verbiage has been changed with the "within 3 days" removed and replaced with "within days." Even though the BILL says $10,000 forgivable loan, I think the conditions that make the first $10,000 forgivable favor employers with 10+ employees's versus a sole proprietor contractor. The first people in the system before the BILL passed received an email with the Streamlined Application and I think these people will have a better chance at the loan forgiveness program.

So far, with my application, I have only received the second email requesting that I use the streamlined application. I did. The Streamlined Application requires very little information compared to the original SBA application that required a financial statement and asset information. In a conversation it was brought up that the SBA can use Credit Score to determined loans instead of the full Monty.

To date, I know of no one that has received their SBA loans yet. Here is a copy of the SBA email in response to my first application.

We know you are facing challenging times in this current health crisis. The U.S. Small Business Administration is committed to help bring relief to small businesses and nonprofit organizations suffering because of the Coronavirus (COVID-19) pandemic. On March 27, 2020, President Trump signed into law the CARES Act, which provided additional assistance for small business owners and non-profits, including the opportunity to get up to a $10,000 Advance on an Economic Injury Disaster Loan (EIDL). This Advance may be available even if your EIDL application was declined or is still pending, and will be forgiven. If you wish to apply for the Advance on your EIDL, please visit www.SBA.gov/Disaster as soon as possible to fill out a new, streamlined application. In order to qualify for the Advance, you need to submit this new application even if you previously submitted an EIDL application. Applying for the Advance will not impact the status or slow your existing application. Also, we encourage you to subscribe to our email updates via www.SBA.gov/Updates and follow us on Twitter at @SBAgov for the latest news on available SBA resources and services. If you need additional assistance, you can find your local SBA office and resource partners at www.SBA.gov/LocalAssistance. If you have questions, you may also call 1-800-659-2955.​

Bill

 

[TravelTime]

Thank you Easyrider, for starting this thread. It is very helpful to me. We are applying for the PPP today.

We are working on calculating our average payroll and figuring out how much we qualify for. As we understand, the PPP loan allows for 8 weeks of forgiveness for payroll but if the money is used for anything else, like rent, utilities and other business expenses, it is not forgiveable. So we are leaning toward only applying for 8 weeks of payroll as a loan and hoping for 100% forgiveness. Is this what you found as well?

We found this: “Due to likely high subscription, it is anticipated that not more than 25% of the forgiven amount may be for non-payroll costs.” This is why we have decided not to apply for a loan for non-payroll costs.

For the EIDL loan of the $10,000 advance, do you know what the requirements are for it to be forgiven? Also, can businesses apply for both the EIDL and get the $10,000 advance plus apply for the PPP? Or is $10,000 deducted from the PPL forgiveness? Can you explain what you meant when you said the $10,000 EIDL loan advance favors companies with 10+ employees?

Hope these questions make sense.

Thanks again for all of your help!

 

[pedro47]

My comment was not politica. I feel then and now. not all small business will be receiving this stimulus money. Let's wait and see what happen. Before you judge my comment.
Small business in the Tidewater, VA are hurting and many, many will not be able to reopening.

I have friends that own family own business for over thirty to forty years and they are hurting. Long time employees with families have been laid off.

I want this bill to work and help those small business who need it the most.

The local seafood industry in our area have loss 70% of their business because restaurants are closed

 

[TravelTime]

My comment was not politica. I feel then and now. not all small business will be receiving this stimulus money. Let's wait and see what happen. Before you judge my comment.
Small business in the Tidewater, VA are hurting and many, many will not be able to reopening.

I agree with you on this. But I will not comment further since that is not the purpose of this thread.

 

[TravelTime]

This article has a nice chart showing the difference between EIDL and PPP.

The CARES Act Paycheck Protection Program: What You Need to Know

The Coronavirus Aid, Relief, and Economic Security (CARES Act) is packed with provisions for small businesses, including the Paycheck Protection Plan. In this article, we break down the PPP and how it can help you and your business!

www.wordstream.com

 

[TravelTime]

Okay, so we applied for the $10,000 forgivable EIDL loan as well as the PPP. The PPP application asks if you applied for the EIDL and subtracts $10,000.

 

[linsj]

I am a sole proprietor whose business offers services, not goods (editorial, conference teaching, running a conference) and doesn't have employees. My annual conference was cancelled last week, and I'll lose about 25-30% of my income as a result; I've already spent thousands of dollars I can't recoup. I'll lose another chunk of income from not teaching at other conferences that are cancelled. I looked at the application for EIDL, but one of the required fields is for cost of goods sold. I don't sell goods. Does this mean I can't apply?

 

[TravelTime]

I am a sole proprietor whose business offers services, not goods (editorial, conference teaching, running a conference) and doesn't have employees. My annual conference was cancelled last week, and I'll lose about 25-30% of my income as a result; I've already spent thousands of dollars I can't recoup. I'll lose another chunk of income from not teaching at other conferences that are cancelled. I looked at the application for EIDL, but one of the required fields is for cost of goods sold. I don't sell goods. Does this mean I can't apply?

I also sell services and I was able to apply for the $10K forgivable loan and the PPP loan. Here's some info on the PPP program:

https://home.treasury.gov/system/files/136/PPP--Fact-Sheet.pdf

 

[presley]

Has anyone who applied for the SBA disaster loan heard anything back? I did the form on their site and it said they would contact us via email and we haven't heard anything. The news keeps referencing people applying at the big banks. I applied on the SBA disaster website and it said they would contact me, which led me to believe that I didn't need to go apply at a bank. I'd just go ahead and head to a bank, but we aren't supposed to go places like that if it isn't necessary and since the online application said nothing like that, I feel like it shouldn't be something that I need to do.

 

[presley]

We got an email last night from SBA. I can't tell that it says anything useful or anything that I didn't already know. This is in response to the application that I filled out on their website on 3/30/20. We still haven't heard back from the bank regarding the PPP loan. We haven't been sitting around waiting for the money anyway. We've been doing lots of stuff to keep some $ coming in. We actually think we are going to drastically change our business even after all of this is over.

Dear Applicant,

On March 29, 2020, following the passage of the CARES Act, the SBA provided small business owners and non-profits impacted by COVID-19 with the opportunity to obtain up to a $10,000 Advance on their Economic Injury Disaster Loan (EIDL). The Advance is available as part of the full EIDL application and will be transferred into the account you provide shortly after your application is submitted. To ensure that the greatest number of applicants can receive assistance during this challenging time, the amount of your Advance will be determined by the number of your pre-disaster (i.e., as of January 31, 2020) employees. The Advance will provide $1,000 per employee up to a maximum of $10,000.

You may be eligible for another loan program, the Paycheck Protection Program, which is available through participating lenders. Below is a comparison of the two loan programs:

Paycheck Protection Program Full EIDL Loan

PURPOSE​	Forgivable if used for payroll (minimum of 75% of the funds received) and the remaining for certain operating expenses (amount of any EIDL advance is not forgivable)​	To meet financial obligations and operating expenses that could have been met had the disaster not occurred (amount of any EIDL advance is forgiven)​
TERMS​	Up to $10 million 1% interest rate​	Up to $2 million 3.75% for businesses 2.75% for non-profits​
FORGIVABLE​	YES​	NO – EIDL Loan YES – EIDL Advance​
MATURITY​	2 years​	30 years​
FIRST PAYMENT DUE​	Deferred 6 months​	Deferred 1 year​

To locate a Paycheck Protection Program Lender, please visit: www.SBA.gov/PaycheckProtection.
Information on available resources may be found at www.sba.gov/coronavirus. For more information on these services, please go to www.sba.gov/local-assistance to locate the email address and phone number for the nearest SBA district office and/or SBA's resource partners.​

 

[easyrider]

We received the EDIL in our account today. It came out to $1,000 per employee claimed on the application so we came up short the full $10,000.

I am now waiting for the offer of the pre-approved SBA loan for $15,000. I have read that the SBA has sent an offer out to the businesses that receive the edil this offer of $15,000 at 4% for a 30 year term. This can be increased to a way higher amount.

Bill

 

[TravelTime]

We received the EDIL in our account today. It came out to $1,000 per employee claimed on the application so we came up short the full $10,000.

I am now waiting for the offer of the pre-approved SBA loan for $15,000. I have read that the SBA has sent an offer out to the businesses that receive the edil this offer of $15,000 at 4% for a 30 year term. This can be increased to a way higher amount.

Bill

How long did it take to receive? We have not heard anything about the EIDL and it has been 1.5 weeks. For the PPP, we got a call last week that they were forwarding the application to the SBA.

 

[CalGalTraveler]

@easyrider Thanks for posting all of this info in one place. We applied for EIDL for both businesses last week. Still trying to figure out PPP app. Some thoughts:

1) On the $1000 per employee it says if you hire 1099s then you can get money for them as well. However I didn't see a space to put that. Hope we are not losing out?


2) They say you can get advance for vacation rental properties, however we had to put 0 for employees. I hope this doesn't get us denied the advance.


3) Has anyone seen good summary requirements and limits for rolling EIDL loans into PPP? I would like to take EIDL then roll into PPP to get the 1% interest to pay non-payroll expenses but not sure of the limitations.

 

[easyrider]

How long did it take to receive? We have not heard anything about the EIDL and it has been 1.5 weeks. For the PPP, we got a call last week that they were forwarding the application to the SBA.

I originally submitted the multi-page SBA application for the EDIL on March 29. A few days later the EDIL application was formatted to a one page application and I received an email to re-submit. The amount they sent was $1000 for every employee up to 10. There was no credit check involved as I was looking for the credit check as a precursor to actually getting the EDIL.

Bill