The Paycheck Protection Program administered by the Small Business Administration has been in effect for just over two months now, and small business owners are being encouraged to apply for about $130 billion left to lend. Borrowers have until June 30, the last day an application can be approved.
Funding for PPP loans comes from the SBA, but small business owners don’t apply directly to the SBA. They apply through their own banks or other lenders approved by the SBA.
“I applied during the [first round] and I was not given [a loan], but in the second round, I was given a loan,” says the Rev. Theophilus Natter. He applied for a $19,000 loan to support New Lite Counseling Center, a rehabilitation center in Houston that helps patients with substance abuse and mental health problems. “I received less than what I applied for. I only got $3,000.”
Borrowers need documents including payroll documentation and, depending on the lender, tax information, bank statements, and employee-benefit information. Borrowers can fill out an application online, as Natter did, or fill out a paper application.
Says Natter: “I gave the name of my agency, my tax ID number, the number of employees, and the total annual income or salary for January 2019 to February 2020.”
The SBA suggests that business owners apply for 2.5 times the average for typical monthly payroll. For Natter, the process was straightforward, gathering the information that was required, submitting it to his bank, Bank of America, and working closely with a banker.
Business owners that don’t have a financial relationship with large banks can go to small community banks or fintech lenders.
Email: editors@barrons.com
"easy" - Google News
June 13, 2020 at 04:30PM
https://ift.tt/37yiJeA
How Easy Is It to Apply to the Paycheck Protection Program? - Barron's
"easy" - Google News
https://ift.tt/38z63U6
Shoes Man Tutorial
Pos News Update
Meme Update
Korean Entertainment News
Japan News Update
Bagikan Berita Ini
0 Response to "How Easy Is It to Apply to the Paycheck Protection Program? - Barron's"
Post a Comment