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The Small Business Administration, or SBA has released the forms to file Paycheck Protection Program, or PPP loan applications:
The SBA re-opened its PPP loan portal on Monday, January 11. Initially, the portal will only accept first draw PPP loan applications from Community Development Financial Institutions, Minority Depository Institutions, Certified Development Companies and Microloan Intermediaries. I’ll try to keep this site updated when the portal opens up for all borrowers, or you can visit the SBA’s PPP site.
Applications for PPP loans will be accepted through March 31, 2021.
For up-to-date information about the PPP program, see my Guide to Recovery Resources. Briefly, a company is eligible as a first-draw borrower if it did not receive an earlier PPP loan, and meets eligibility requirements as a small business. Second-draw loans are targeted toward the hardest-hit businesses who previously received a PPP loan but are in need of additional assistance.
Lender Alternatives
One development to the updated PPP program is that lender options have expanded beyond banks. Small businesses often find the larger banks are not responsive to small customers. Small community banks are often a better alternative for SBA loans, but if you don’t have a strong relationship with a small bank using a Fintech lender is now an option. The Fintech lenders usually have portals that directly interface with the SBA and can often provide same-day approval. Talk to your CPA about your options.
This article is obviously general in nature. I am not offering specific advice to you or your company. You should always discuss these matters with your company’s accounting, financial and legal advisors. If I can be of assistance, or you have any questions, criticisms or suggestions, please contact me. I’m always happy to help.