Stimulus help for small businesses, sole proprietors, s-corp etc

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Harry Livermore
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Harry Livermore » Fri Apr 03, 2020 1:32 pm

gilgamesh wrote:
Fri Apr 03, 2020 1:19 pm
Harry Livermore wrote:
Fri Apr 03, 2020 12:59 pm
I just logged in to BOA and applied for the PPP. I had done the EIDL Monday but figured I'd give it a try and see what sticks.
Now there is just a spinning "progress" circle on the web page. Ugh. Not sure if the application is actually being processed. Seems like internet overload...
Cheers

ETA: I refreshed and it indicated I had timed out. So I started over and it went through.
So did you have an existing BofA checking account and a loan through them?
Yes.

And I am still unsure, as a single-person LLC (sole proprietor/ passthrough for tax purposes) who also sometimes is paid via payroll as a temporary employee (often with a dozen or more W2s at the end of the year), which of the following: unemployment, with the $600 fed layer, OR the EIDL $10K, OR the PPP (for the passthrough income, rent, lease payments) are appropriate, legit and correct for a guy in my situation. If some, or all, of amounts advanced to me under the EIDL and PPP are not eligible for forgiveness, I will just pay them back as scheduled.
The UI piece is a mystery to me; the last time I filed was in circa 1993, in a dingy office in White Plains NY... think like the most dreary DMV you've been to. It was an hours-long process, waiting and waiting, then answering many questions from a scowling DOL employee. A demeaning and disheartening experience. After that, I realized I was probably better off just picking up the phone and hustling for work in my field, and I have not tried for UI since. I certainly have done a few hundred thousand dollars of W2 work in the intervening 27 years, so you'd think there would be something there for me now.
Basically trying all avenues to see what sticks.
Cheers

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Harry Livermore
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Harry Livermore » Fri Apr 03, 2020 1:40 pm

BTW, the Treasury has a helpful page with the final language/ rules, guidelines for lenders, and guidelines for borrowers, all as standalone PDFs:
https://home.treasury.gov/policy-issues ... businesses
Read the one for lenders. Pretty sweet deal- they get a loan origination fee from Uncle Sam, on a sliding scale, starting at 5% for the smallest loans and 1% of the largest. Plus interest.
Thanks for all the ongoing contributions to this thread. The BH community is really terrific!
Cheers

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gilgamesh
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by gilgamesh » Fri Apr 03, 2020 1:46 pm

Harry Livermore wrote:
Fri Apr 03, 2020 1:32 pm
gilgamesh wrote:
Fri Apr 03, 2020 1:19 pm
Harry Livermore wrote:
Fri Apr 03, 2020 12:59 pm
I just logged in to BOA and applied for the PPP. I had done the EIDL Monday but figured I'd give it a try and see what sticks.
Now there is just a spinning "progress" circle on the web page. Ugh. Not sure if the application is actually being processed. Seems like internet overload...
Cheers

ETA: I refreshed and it indicated I had timed out. So I started over and it went through.
So did you have an existing BofA checking account and a loan through them?
Yes.

And I am still unsure, as a single-person LLC (sole proprietor/ passthrough for tax purposes) who also sometimes is paid via payroll as a temporary employee (often with a dozen or more W2s at the end of the year), which of the following: unemployment, with the $600 fed layer, OR the EIDL $10K, OR the PPP (for the passthrough income, rent, lease payments) are appropriate, legit and correct for a guy in my situation. If some, or all, of amounts advanced to me under the EIDL and PPP are not eligible for forgiveness, I will just pay them back as scheduled.
The UI piece is a mystery to me; the last time I filed was in circa 1993, in a dingy office in White Plains NY... think like the most dreary DMV you've been to. It was an hours-long process, waiting and waiting, then answering many questions from a scowling DOL employee. A demeaning and disheartening experience. After that, I realized I was probably better off just picking up the phone and hustling for work in my field, and I have not tried for UI since. I certainly have done a few hundred thousand dollars of W2 work in the intervening 27 years, so you'd think there would be something there for me now.
Basically trying all avenues to see what sticks.
Cheers
I’ll give my non-expert opinion on this ...may be it will help, you think through this.

I am fairly certain you cannot be on PPP and pay yourself at the same time you are on UI. You cannot use EIDL advance and PPP for the same use. Even if you don’t, your total PPP forgiveness might be reduced by the EIDL you end up getting.

UI is tricky for you...you will be eligible for state UI from your W2 pay now...however, once the Federal Disaster Unemployment Benefit (DUB) is coordinated you will get $600 (Ohio has a website and they are not ready for DUB yet), but with DUB you may get higher base state UI payment based on schedule C.

I am only a sole prop with schedule C, with employees....I am not eligible now, but once Ohio coordinates with feds with DUB, I am expecting to get $600 plus max from sates

I applied for $10k grant

I am not applying for PPP as I will not be using the proceeds within 8 weeks to be eligible for forgiveness, and many of my employees will get UI pay than what I pay (mostly part time), and my $8,333 isn’t much if I don’t hire them etc...it’s a bit more complicated...But Imam not applying - not an issue for you with only you as the owner/employee.

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Harry Livermore
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Harry Livermore » Fri Apr 03, 2020 1:50 pm

gilgamesh wrote:
Fri Apr 03, 2020 1:46 pm
Harry Livermore wrote:
Fri Apr 03, 2020 1:32 pm
gilgamesh wrote:
Fri Apr 03, 2020 1:19 pm
Harry Livermore wrote:
Fri Apr 03, 2020 12:59 pm
I just logged in to BOA and applied for the PPP. I had done the EIDL Monday but figured I'd give it a try and see what sticks.
Now there is just a spinning "progress" circle on the web page. Ugh. Not sure if the application is actually being processed. Seems like internet overload...
Cheers

ETA: I refreshed and it indicated I had timed out. So I started over and it went through.
So did you have an existing BofA checking account and a loan through them?
Yes.

And I am still unsure, as a single-person LLC (sole proprietor/ passthrough for tax purposes) who also sometimes is paid via payroll as a temporary employee (often with a dozen or more W2s at the end of the year), which of the following: unemployment, with the $600 fed layer, OR the EIDL $10K, OR the PPP (for the passthrough income, rent, lease payments) are appropriate, legit and correct for a guy in my situation. If some, or all, of amounts advanced to me under the EIDL and PPP are not eligible for forgiveness, I will just pay them back as scheduled.
The UI piece is a mystery to me; the last time I filed was in circa 1993, in a dingy office in White Plains NY... think like the most dreary DMV you've been to. It was an hours-long process, waiting and waiting, then answering many questions from a scowling DOL employee. A demeaning and disheartening experience. After that, I realized I was probably better off just picking up the phone and hustling for work in my field, and I have not tried for UI since. I certainly have done a few hundred thousand dollars of W2 work in the intervening 27 years, so you'd think there would be something there for me now.
Basically trying all avenues to see what sticks.
Cheers
I’ll give my non-expert opinion on this ...may be it will help, you think through this.

I am fairly certain you cannot be on PPP and pay yourself at the same time you are on UI. You cannot use EIDL advance and PPP for the same use. Even if you don’t, your total PPP forgiveness might be reduced by the EIDL you end up getting.

UI is tricky for you...you will be eligible for state UI from your W2 pay now...however, once the Federal Disaster Unemployment Benefit (DUB) is coordinated you will get $600 (Ohio has a website and they are not ready for DUB yet), but with DUB you may get higher base state UI payment based on schedule C.

I am only a sole prop with schedule C, with employees....I am not eligible now, but once Ohio coordinates with feds with DUB, I am expecting to get $600 plus max from sates

I applied for $10k grant

I am not applying for PPP as I will not be using the proceeds within 8 weeks to be eligible for forgiveness, and many of my employees will get UI pay than what I pay (mostly part time), and my $8,333 isn’t much if I don’t hire them etc...it’s a bit more complicated...But Imam not applying - not an issue for you with only you as the owner/employee.
I agree that UI and PPP for payroll is a double-dip. But the amount I would normally pass through monthly (sole prop version of payroll) is far in excess of UI. If that amount is forgiven, then it's a lot of money left on the table by taking UI, which I would happily decline.
Cheers

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gilgamesh
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by gilgamesh » Fri Apr 03, 2020 1:51 pm

Corsair wrote:
Fri Apr 03, 2020 1:23 pm
This thread is extremely helpful :beer

Doing research for my father-in-law who has a sole prop with business down. Seems like being a sole sole proprietorship he could now apply for EIDL up to $10K (making sure to select box asking for a grant on the application). Does not have to be repaid.

Then on 4/10 can apply for $20,833 - $10,000 = $10,833 loan which would be forgiven due to payroll across 8 weeks. Will have to use bank for this.

Is this correct?

I am a sole proprietor with employees and I could apply for $10k advance - I’m sure he could do too...apply ASAP as it was open for days and funds will run dry

You do not apply for less PPP...you apply for max , 1 Pearson $100k limit is $20,833...possible forgiveness be $10,833 if you get approved for a $10k EIDL. I will not assume you will get $10k. Yes the 1% interest will however accrue for the part you don’t use.

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gilgamesh
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by gilgamesh » Fri Apr 03, 2020 1:57 pm

Harry Livermore wrote:
Fri Apr 03, 2020 1:50 pm
gilgamesh wrote:
Fri Apr 03, 2020 1:46 pm
Harry Livermore wrote:
Fri Apr 03, 2020 1:32 pm
gilgamesh wrote:
Fri Apr 03, 2020 1:19 pm
Harry Livermore wrote:
Fri Apr 03, 2020 12:59 pm
I just logged in to BOA and applied for the PPP. I had done the EIDL Monday but figured I'd give it a try and see what sticks.
Now there is just a spinning "progress" circle on the web page. Ugh. Not sure if the application is actually being processed. Seems like internet overload...
Cheers

ETA: I refreshed and it indicated I had timed out. So I started over and it went through.
So did you have an existing BofA checking account and a loan through them?
Yes.

And I am still unsure, as a single-person LLC (sole proprietor/ passthrough for tax purposes) who also sometimes is paid via payroll as a temporary employee (often with a dozen or more W2s at the end of the year), which of the following: unemployment, with the $600 fed layer, OR the EIDL $10K, OR the PPP (for the passthrough income, rent, lease payments) are appropriate, legit and correct for a guy in my situation. If some, or all, of amounts advanced to me under the EIDL and PPP are not eligible for forgiveness, I will just pay them back as scheduled.
The UI piece is a mystery to me; the last time I filed was in circa 1993, in a dingy office in White Plains NY... think like the most dreary DMV you've been to. It was an hours-long process, waiting and waiting, then answering many questions from a scowling DOL employee. A demeaning and disheartening experience. After that, I realized I was probably better off just picking up the phone and hustling for work in my field, and I have not tried for UI since. I certainly have done a few hundred thousand dollars of W2 work in the intervening 27 years, so you'd think there would be something there for me now.
Basically trying all avenues to see what sticks.
Cheers
I’ll give my non-expert opinion on this ...may be it will help, you think through this.

I am fairly certain you cannot be on PPP and pay yourself at the same time you are on UI. You cannot use EIDL advance and PPP for the same use. Even if you don’t, your total PPP forgiveness might be reduced by the EIDL you end up getting.

UI is tricky for you...you will be eligible for state UI from your W2 pay now...however, once the Federal Disaster Unemployment Benefit (DUB) is coordinated you will get $600 (Ohio has a website and they are not ready for DUB yet), but with DUB you may get higher base state UI payment based on schedule C.

I am only a sole prop with schedule C, with employees....I am not eligible now, but once Ohio coordinates with feds with DUB, I am expecting to get $600 plus max from sates

I applied for $10k grant

I am not applying for PPP as I will not be using the proceeds within 8 weeks to be eligible for forgiveness, and many of my employees will get UI pay than what I pay (mostly part time), and my $8,333 isn’t much if I don’t hire them etc...it’s a bit more complicated...But Imam not applying - not an issue for you with only you as the owner/employee.
I agree that UI and PPP for payroll is a double-dip. But the amount I would normally pass through monthly (sole prop version of payroll) is far in excess of UI. If that amount is forgiven, then it's a lot of money left on the table by taking UI, which I would happily decline.
Cheers
PPP is limited to ‘payroll’ of $100k per annum....so, the max PPP loan possible for you is $20,833...out of which you will pay yourself and use for rent, utilities etc...while making sure you pay 75% and 25% for others qualified use after the 8 week period of getting the funds to get forgiveness...I guess you could use all $20,833?? For pas through income....however as an owner with employees, I can only get max of $16,666 for 2 months as my income and just can’t increase mine....there is a possibility the pass through income you can pay yourself within 8 weeks may be limited to$16,666 too

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Harry Livermore
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Harry Livermore » Fri Apr 03, 2020 2:04 pm

gilgamesh wrote:
Fri Apr 03, 2020 1:57 pm
PPP is limited to ‘payroll’ of $100k per annum....so, the max PPP loan possible for you is $20,833...out of which you will pay yourself and use for rent, utilities etc...while making sure you pay 75% and 25% for others qualified use after the 8 week period of getting the funds to get forgiveness...I guess you could use all $20,833?? For pas through income....however as an owner with employees, I can only get max of $16,666 for 2 months as my income and just can’t increase mine....there is a possibility the pass through income you can pay yourself within 8 weeks may be limited to$16,666 too
Yes, I figured that I'd use it all. And the monthly passthrough income is typically more than the PPP max amount, so I felt pretty confident that would qualify all of it? If not, there is rent, interest, and lease payments.
Regardless, 8 weeks' PPP is way more than 8 weeks' UI. Although I suppose in theory I could be on UI longer. But the breakeven on $20,833 PPP is 34 weeks of UI. Seems unrealistic.
Again, just trying to see what the "powers that be" deem me worthy of.
Cheers

PS- I clipped down your quote, the conversation was starting to take up a lot of real estate on the page.

Almond
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Almond » Fri Apr 03, 2020 2:15 pm

Almond wrote:
Thu Apr 02, 2020 3:44 pm
Hello Theseus,

Thanks for helping.

it seems it will take longer to get approved for EIDL than PPP loan. Given PPP loan will probably be approved first does that mean you might not get EIDL? And why not? Although you cannot double dip can you use the EIDL to pay for payroll etc after the 8 weeks PPP loan? Will the EIDL require personal collateral such as your home? Wondering as that might impact your ability to refinance. Also it is my understanding the EIDL is not paid as a lump sum but as installments, not sure how installments are calculated?

Thank you
Reposting for information

Thanks

notPatience
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by notPatience » Fri Apr 03, 2020 2:28 pm

Not sure I am fully answering your question but per latest ruling if use a PPP loan to pay independent contractor that will not be allowable use or be forgiven. The independent contractors themselves are eligible to apply for that. I wish ruling had allowed small ICs to be part of it. As smaller ICs are less likely to know and/or apply for this loan and are most vulnerable in this situation.

However, they are allowing ICs to apply for unemployment. That may be worth it for them.
Thank you, @Theseus -- you did answer. And confirmed what I feared. Was hoping there might be a bigger way for me to help these small ICs than I've been doing. Will keep doing what I can.

Appreciate your response!

DavidRoseMountain
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by DavidRoseMountain » Fri Apr 03, 2020 2:43 pm

I just have a business checking account with Chase.

Here's an email that I got from Chase:

We encourage you to be prepared so that you have what you need when we open our website for applications. Have the following information:
• A Chase Business Online user ID and password – you'll need this to apply. If you don't have an active profile, click here to set up or update your online credentials.
• The date you started your business
• Detailed information to calculate the average monthly payroll costs.
• Your annual revenue
• Your business mailing address

Also, they are not yet accepting applications.

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Average Investor
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Average Investor » Fri Apr 03, 2020 3:38 pm

Tomorrow never knows.

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JonnyDVM
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by JonnyDVM » Fri Apr 03, 2020 3:45 pm

Very frustrated with the BOA process.

First, it seemed the server was overloaded. Now I'm getting a message that my account isn't eligible. Yes, it is BOA. Yes it IS!

So now I don't know if I should wait until Monday or start looking for different lenders if this is first come first serve I'm going to be number 800 million by the time Monday rolls around. :oops:
I’d trade it all for a little more | -C Montgomery Burns

Corsair
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Location: WA

Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by Corsair » Fri Apr 03, 2020 5:19 pm

For the EIDL loan if one has a service business, does not sell goods, would the cost of goods sold be $0? They're only asking for gross revenue but not business expenses?
All posts are my own opinions and are not financial advice.

theplayer11
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by theplayer11 » Fri Apr 03, 2020 5:23 pm

JonnyDVM wrote:
Fri Apr 03, 2020 3:45 pm
Very frustrated with the BOA process.

First, it seemed the server was overloaded. Now I'm getting a message that my account isn't eligible. Yes, it is BOA. Yes it IS!

So now I don't know if I should wait until Monday or start looking for different lenders if this is first come first serve I'm going to be number 800 million by the time Monday rolls around. :oops:
I'm done with them. Marco Rubio tweeted:
The requirement that a #SmallBusiness not just have a business account but also a loan or credit card is NOT in the law we wrote & passed or in the regulations.

This is a
@BankofAmerica
requirement not a govt one.

They should drop it. This money is 100% guaranteed by fed govt.

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chickadee
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by chickadee » Fri Apr 03, 2020 5:49 pm

As a mom and pop, 2-person S Corp, I'm confused.

Our business has been greatly affected, and one of us (the higher earner in the S Corp) filed for unemployment today. Not something I thought we'd ever do, but we have paid into the UI system for years.

Now I'm reading up on these loans.

I am assuming these loans / grants are separate issue from claiming UI?

Can we
    apply for EIDL for the $10,000 grant
      Also apply for PPP, then rehire our worker by June 30, 2020 and get the PPP loan forgiven?

      theplayer11
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      Joined: Tue Jul 22, 2014 8:55 pm

      Re: Stimulus help for small businesses, sole proprietors, s-corp etc

      Post by theplayer11 » Fri Apr 03, 2020 6:13 pm

      chickadee wrote:
      Fri Apr 03, 2020 5:49 pm
      As a mom and pop, 2-person S Corp, I'm confused.

      Our business has been greatly affected, and one of us (the higher earner in the S Corp) filed for unemployment today. Not something I thought we'd ever do, but we have paid into the UI system for years.

      Now I'm reading up on these loans.

      I am assuming these loans / grants are separate issue from claiming UI?

      Can we
        apply for EIDL for the $10,000 grant
          Also apply for PPP, then rehire our worker by June 30, 2020 and get the PPP loan forgiven?
          good question. Law does read if you rehire by June 30th, the loan will be forgiven....but loan forgiveness is just for the first 8 weeks of payroll after the loan is signed. So, say loan starts on April 15th. An scorp employee could remain on unemployment from April 15th through June 30th? Doesn't seem right as the law was written to pay employees during those 8 weeks instead of having to let them go. Collecting unemployment and also getting those 8 weeks of payroll forgiven don't jive..but that appears tobe how the law is written..rehire by June 30th.
          Opinions?

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          gilgamesh
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 6:31 pm

          Average Investor wrote:
          Fri Apr 03, 2020 3:38 pm
          Day 1 of PPP update:

          https://www.washingtonpost.com/business ... e=facebook
          Do they have data on amount requested (nvrm...$22B today as per SBA Facebook post)...heard BofA alone got more than $20B (abc)...what else was interesting?
          Subscription needed

          theplayer11
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by theplayer11 » Fri Apr 03, 2020 6:47 pm

          gilgamesh wrote:
          Fri Apr 03, 2020 6:31 pm
          Average Investor wrote:
          Fri Apr 03, 2020 3:38 pm
          Day 1 of PPP update:

          https://www.washingtonpost.com/business ... e=facebook
          Do they have data on amount requested (nvrm...$22B today as per SBA Facebook post)...heard BofA alone got more than $20B (abc)...what else was interesting?
          Subscription needed
          BofA can stick it

          Applesa
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Applesa » Fri Apr 03, 2020 7:11 pm

          Why is the new 7a loan which is being paid principal and interest not a option ? The debt relief

          simas
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by simas » Fri Apr 03, 2020 7:16 pm

          I still do not understand it - I am not incorporated sole proprietor with 63k in line 31 for Schedule C attached to my 2019 tax return. My income that went into those 63k was a bunch of 1099s from my clients.

          if I borrow money under PPP , how do I prove I spent it on 'payroll' for forgiveness purposes ? Is there a FAQ for this?

          User avatar
          Average Investor
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Average Investor » Fri Apr 03, 2020 7:24 pm

          gilgamesh wrote:
          Fri Apr 03, 2020 6:31 pm
          Average Investor wrote:
          Fri Apr 03, 2020 3:38 pm
          Day 1 of PPP update:

          https://www.washingtonpost.com/business ... e=facebook
          Do they have data on amount requested (nvrm...$22B today as per SBA Facebook post)...heard BofA alone got more than $20B (abc)...what else was interesting?
          Subscription needed
          Sorry about that.


          “Bank of America, one of the few big banks to begin offering loans Friday morning, said it was moving quickly to meet loan requests. By the end of the day, it had received 85,000 applications for $22 billion in loans.
          The bank has focused on its business customers with loans first but will be expanding access quickly, Dean Athanasia, the head of Bank of America’s consumer business, said in a note to employees. “We will expand our process soon,” Athanasia said.”
          Tomorrow never knows.

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          gilgamesh
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 7:25 pm

          theplayer11 wrote:
          Fri Apr 03, 2020 6:47 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 6:31 pm
          Average Investor wrote:
          Fri Apr 03, 2020 3:38 pm
          Day 1 of PPP update:

          https://www.washingtonpost.com/business ... e=facebook
          Do they have data on amount requested (nvrm...$22B today as per SBA Facebook post)...heard BofA alone got more than $20B (abc)...what else was interesting?
          Subscription needed
          BofA can stick it
          Correction...the FB post seems to say $2.2B, but I heard abc say $22B....

          User avatar
          gilgamesh
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 7:25 pm

          Average Investor wrote:
          Fri Apr 03, 2020 7:24 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 6:31 pm
          Average Investor wrote:
          Fri Apr 03, 2020 3:38 pm
          Day 1 of PPP update:

          https://www.washingtonpost.com/business ... e=facebook
          Do they have data on amount requested (nvrm...$22B today as per SBA Facebook post)...heard BofA alone got more than $20B (abc)...what else was interesting?
          Subscription needed
          Sorry about that.


          “Bank of America, one of the few big banks to begin offering loans Friday morning, said it was moving quickly to meet loan requests. By the end of the day, it had received 85,000 applications for $22 billion in loans.
          The bank has focused on its business customers with loans first but will be expanding access quickly, Dean Athanasia, the head of Bank of America’s consumer business, said in a note to employees. “We will expand our process soon,” Athanasia said.”
          TY....so they also mention $22B

          Polymorphic
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Polymorphic » Fri Apr 03, 2020 7:37 pm

          simas wrote:
          Fri Apr 03, 2020 7:16 pm
          I still do not understand it - I am not incorporated sole proprietor with 63k in line 31 for Schedule C attached to my 2019 tax return. My income that went into those 63k was a bunch of 1099s from my clients.

          if I borrow money under PPP , how do I prove I spent it on 'payroll' for forgiveness purposes ? Is there a FAQ for this?
          Same question here, though being the sole employee in my business, I apparently can’t apply until April 10th anyway.

          User avatar
          JonnyDVM
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          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by JonnyDVM » Fri Apr 03, 2020 7:43 pm

          theplayer11 wrote:
          Fri Apr 03, 2020 5:23 pm
          JonnyDVM wrote:
          Fri Apr 03, 2020 3:45 pm
          Very frustrated with the BOA process.

          First, it seemed the server was overloaded. Now I'm getting a message that my account isn't eligible. Yes, it is BOA. Yes it IS!

          So now I don't know if I should wait until Monday or start looking for different lenders if this is first come first serve I'm going to be number 800 million by the time Monday rolls around. :oops:
          I'm done with them. Marco Rubio tweeted:
          The requirement that a #SmallBusiness not just have a business account but also a loan or credit card is NOT in the law we wrote & passed or in the regulations.

          This is a
          @BankofAmerica
          requirement not a govt one.

          They should drop it. This money is 100% guaranteed by fed govt.
          I literally have a business loan with them! In good standing. Funded in 2018! And a checking account. And a business with 6 employees. What are they doing over there????

          I think at this point I’ll try my luck with a different smaller lender.
          I’d trade it all for a little more | -C Montgomery Burns

          GreenGrowTheDollars
          Posts: 447
          Joined: Fri Dec 18, 2015 11:09 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by GreenGrowTheDollars » Fri Apr 03, 2020 9:16 pm

          We have a multi-member LLC with partnership taxation -- no employees, just myself and my business partner. (Not a spouse.)

          Does that make us a business for the purpose of the application date for the PPP?

          kvijayk
          Posts: 2
          Joined: Thu Mar 05, 2015 2:27 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by kvijayk » Fri Apr 03, 2020 9:27 pm

          Are there any online only SBA lenders out there?
          Can we trust these guys?

          https://www.lendio.com/bp/owner-info?in ... PPP%20Only

          User avatar
          gilgamesh
          Posts: 1607
          Joined: Sun Jan 10, 2016 9:29 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 9:34 pm

          Theseus wrote:
          Thu Apr 02, 2020 8:03 am
          gilgamesh wrote:
          Thu Apr 02, 2020 7:58 am
          Theseus wrote:
          Thu Apr 02, 2020 7:19 am
          gilgamesh wrote:
          Wed Apr 01, 2020 9:28 pm
          jpmorganfunds wrote:
          Wed Apr 01, 2020 9:11 pm


          That entirely defeats the purpose of having a 3 day or any length time frame. :oops:
          As the law is written, it gives 15 days from the day it was signed into law, before which the various components needs to be in place. After that, the $10k advance needs to be distributed within 3 days from receiving the application - However, If your credit score falls below threshold it may take longer.
          I must have missed the 15 days of delay part. Can you point out where in the law it states? I want to make sure I understand in providing my guidance to others.
          We know the ‘Families First Coronavirus’ bill went into effect yesterday after 15 days from being signed into law....it is widely reported that CARES act will also need that (they do have to setup the system)...I searched for ‘15 days’ on the bill and got multiple hits with various provisions explicitly saying it will take 15 days from signing, but not EIDL advance. That’s all I have ...
          That's good to know. I am hoping they don't delay EIDL advance like that. We need to get help to people as soon as possible. They are probably worried about fraud etc. But IMHO there will be time to deal with that later. Hopefully they won't perfect be the enemy of good.
          Hey do you know whether PPP is for each business or each owner? I have two businesses with 2 different tax ID....I have two schedule C, two sets of 941...however, could as an owner I can qualify for $8,333/month limit?

          Do you think I can take two different PPP loan for each business? Or one?....I am 100% owner for both?

          The a-location has this - During the period beginning on February 15, 2020 and ending on December 31, 2020, the Applicant has not and will not receive another loan under the Paycheck Protection Program.

          Applesa
          Posts: 8
          Joined: Fri Apr 03, 2020 7:09 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Applesa » Fri Apr 03, 2020 9:46 pm

          Can anyone say why this option is not better than the ppp loan ? Given sba pays the principal ?

          Small Business Debt Relief Program
          This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill

          User avatar
          gilgamesh
          Posts: 1607
          Joined: Sun Jan 10, 2016 9:29 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 10:13 pm

          Applesa wrote:
          Fri Apr 03, 2020 9:46 pm
          Can anyone say why this option is not better than the ppp loan ? Given sba pays the principal ?

          Small Business Debt Relief Program
          This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill
          Where did you find this? What bill are they talking about? Is it CARES Act? Can you give more details?

          Topic Author
          Theseus
          Posts: 788
          Joined: Sat Jan 23, 2016 9:40 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Theseus » Fri Apr 03, 2020 10:13 pm

          gilgamesh wrote:
          Fri Apr 03, 2020 9:34 pm
          Theseus wrote:
          Thu Apr 02, 2020 8:03 am
          gilgamesh wrote:
          Thu Apr 02, 2020 7:58 am
          Theseus wrote:
          Thu Apr 02, 2020 7:19 am
          gilgamesh wrote:
          Wed Apr 01, 2020 9:28 pm


          As the law is written, it gives 15 days from the day it was signed into law, before which the various components needs to be in place. After that, the $10k advance needs to be distributed within 3 days from receiving the application - However, If your credit score falls below threshold it may take longer.
          I must have missed the 15 days of delay part. Can you point out where in the law it states? I want to make sure I understand in providing my guidance to others.
          We know the ‘Families First Coronavirus’ bill went into effect yesterday after 15 days from being signed into law....it is widely reported that CARES act will also need that (they do have to setup the system)...I searched for ‘15 days’ on the bill and got multiple hits with various provisions explicitly saying it will take 15 days from signing, but not EIDL advance. That’s all I have ...
          That's good to know. I am hoping they don't delay EIDL advance like that. We need to get help to people as soon as possible. They are probably worried about fraud etc. But IMHO there will be time to deal with that later. Hopefully they won't perfect be the enemy of good.
          Hey do you know whether PPP is for each business or each owner? I have two businesses with 2 different tax ID....I have two schedule C, two sets of 941...however, could as an owner I can qualify for $8,333/month limit?

          Do you think I can take two different PPP loan for each business? Or one?....I am 100% owner for both?

          The a-location has this - During the period beginning on February 15, 2020 and ending on December 31, 2020, the Applicant has not and will not receive another loan under the Paycheck Protection Program.
          Yes each business is eligible for PPP. Applicant here refers to the business entity. Although if you have two gigs as a sole proprietor or independent contractor I am not sure how that will be handled. But I still think it should be ok. But you never know with these rulings.

          Applesa
          Posts: 8
          Joined: Fri Apr 03, 2020 7:09 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Applesa » Fri Apr 03, 2020 10:23 pm

          gilgamesh wrote:
          Fri Apr 03, 2020 10:13 pm
          Applesa wrote:
          Fri Apr 03, 2020 9:46 pm
          Can anyone say why this option is not better than the ppp loan ? Given sba pays the principal ?

          Small Business Debt Relief Program
          This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill
          Where did you find this? What bill are they talking about? Is it CARES Act? Can you give more details?
          It’s here https://www.sba.gov/funding-programs/lo ... ef-options
          The last one and is on various gov websites just seems the chat for ppp loans has gone by this

          User avatar
          gilgamesh
          Posts: 1607
          Joined: Sun Jan 10, 2016 9:29 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 10:23 pm

          Theseus wrote:
          Fri Apr 03, 2020 10:13 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 9:34 pm
          Theseus wrote:
          Thu Apr 02, 2020 8:03 am
          gilgamesh wrote:
          Thu Apr 02, 2020 7:58 am
          Theseus wrote:
          Thu Apr 02, 2020 7:19 am


          I must have missed the 15 days of delay part. Can you point out where in the law it states? I want to make sure I understand in providing my guidance to others.
          We know the ‘Families First Coronavirus’ bill went into effect yesterday after 15 days from being signed into law....it is widely reported that CARES act will also need that (they do have to setup the system)...I searched for ‘15 days’ on the bill and got multiple hits with various provisions explicitly saying it will take 15 days from signing, but not EIDL advance. That’s all I have ...
          That's good to know. I am hoping they don't delay EIDL advance like that. We need to get help to people as soon as possible. They are probably worried about fraud etc. But IMHO there will be time to deal with that later. Hopefully they won't perfect be the enemy of good.
          Hey do you know whether PPP is for each business or each owner? I have two businesses with 2 different tax ID....I have two schedule C, two sets of 941...however, could as an owner I can qualify for $8,333/month limit?

          Do you think I can take two different PPP loan for each business? Or one?....I am 100% owner for both?

          The a-location has this - During the period beginning on February 15, 2020 and ending on December 31, 2020, the Applicant has not and will not receive another loan under the Paycheck Protection Program.
          Yes each business is eligible for PPP. Applicant here refers to the business entity. Although if you have two gigs as a sole proprietor or independent contractor I am not sure how that will be handled. But I still think it should be ok. But you never know with these rulings.
          I am a sole proprietor (Registered as LLC, but disregarded entity for tax purposes)...I have employees and it is clear I can apply now....I know I was able to apply for two different EIDL advance...but the loan especially asking that an applicant cannot apply twice threw me off.

          So you are pretty sure I can do this?

          User avatar
          gilgamesh
          Posts: 1607
          Joined: Sun Jan 10, 2016 9:29 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 10:26 pm

          Applesa wrote:
          Fri Apr 03, 2020 10:23 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 10:13 pm
          Applesa wrote:
          Fri Apr 03, 2020 9:46 pm
          Can anyone say why this option is not better than the ppp loan ? Given sba pays the principal ?

          Small Business Debt Relief Program
          This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill
          Where did you find this? What bill are they talking about? Is it CARES Act? Can you give more details?
          It’s here https://www.sba.gov/funding-programs/lo ... ef-options
          The last one and is on various gov websites just seems the chat for ppp loans has gone by this
          That is if I already have an SBA loan

          “ For current SBA Serviced Disaster (Home and Business) Loans: If your disaster loan was in “regular servicing” status on March 1, 2020, the SBA is providing automatic deferments through December 31, 2020.”
          Last edited by gilgamesh on Fri Apr 03, 2020 10:27 pm, edited 1 time in total.

          rm
          Posts: 265
          Joined: Fri Oct 31, 2008 6:09 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by rm » Fri Apr 03, 2020 10:27 pm

          Has anyone applied for EDIL. I find it quite confusing.

          I have LLC that used to make money till last year and this year there is zero revenue. I have no employees and this is a side consulting business. I am not paying for any material or inventory though I do use home office.

          a) Do I have to file this myself or can I have a tax guy file for me.
          b) Can I use the money for lost income or do I have to state some other reasons

          I also have an investment property and read somewhere that you can ask for lost rent as well.

          Anyway, if anyone has personal experience or can point to a step by step website that would be really useful

          Applesa
          Posts: 8
          Joined: Fri Apr 03, 2020 7:09 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Applesa » Fri Apr 03, 2020 10:31 pm

          gilgamesh wrote:
          Fri Apr 03, 2020 10:26 pm
          Applesa wrote:
          Fri Apr 03, 2020 10:23 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 10:13 pm
          Applesa wrote:
          Fri Apr 03, 2020 9:46 pm
          Can anyone say why this option is not better than the ppp loan ? Given sba pays the principal ?

          Small Business Debt Relief Program
          This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill
          Where did you find this? What bill are they talking about? Is it CARES Act? Can you give more details?
          It’s here https://www.sba.gov/funding-programs/lo ... ef-options
          The last one and is on various gov websites just seems the chat for ppp loans has gone by this
          That is if I already have an SBA loan

          “ For current SBA Serviced Disaster (Home and Business) Loans: If your disaster loan was in “regular servicing” status on March 1, 2020, the SBA is providing automatic deferments through December 31, 2020.”

          Not the same - there is a separate clause about deferments ; this specifically states principle is paid

          User avatar
          gilgamesh
          Posts: 1607
          Joined: Sun Jan 10, 2016 9:29 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Fri Apr 03, 2020 10:45 pm

          Applesa wrote:
          Fri Apr 03, 2020 10:31 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 10:26 pm
          Applesa wrote:
          Fri Apr 03, 2020 10:23 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 10:13 pm
          Applesa wrote:
          Fri Apr 03, 2020 9:46 pm
          Can anyone say why this option is not better than the ppp loan ? Given sba pays the principal ?

          Small Business Debt Relief Program
          This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill
          Where did you find this? What bill are they talking about? Is it CARES Act? Can you give more details?
          It’s here https://www.sba.gov/funding-programs/lo ... ef-options
          The last one and is on various gov websites just seems the chat for ppp loans has gone by this
          That is if I already have an SBA loan

          “ For current SBA Serviced Disaster (Home and Business) Loans: If your disaster loan was in “regular servicing” status on March 1, 2020, the SBA is providing automatic deferments through December 31, 2020.”

          Not the same - there is a separate clause about deferments ; this specifically states principle is paid
          This one?

          The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.

          I don’t see anything in the actual bill....but the PPP loan is a 7(a) loan, so I guess during the 6 months where PPP are not due, the principal and interest are being paid?

          Is this true?

          Applesa
          Posts: 8
          Joined: Fri Apr 03, 2020 7:09 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Applesa » Fri Apr 03, 2020 11:01 pm

          Separate entirely programs - mentioned elsewhere I see mention of the two programs and that you can’t use the 7a program to pay wages and vv

          I have seen summaries similar to this in multiple places
          https://cdcloans.com/blog/small-busines ... cares-act/
          Other more “reputable” government sites but they are the same I just grabbed one to drop here

          https://lamb.house.gov/covid-19-frequen ... -questions

          User avatar
          AerialWombat
          Posts: 1512
          Joined: Tue May 29, 2018 1:07 pm
          Location: Cash Canyon / Cashville

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by AerialWombat » Fri Apr 03, 2020 11:59 pm

          gilgamesh wrote:
          Fri Apr 03, 2020 7:37 am
          In fact the interim guidelines does not say how this advance of up to $10k is treated when it comes to PPP forgiveness - just says ‘SBA will issue further guidelines’....so, the worse is they can say it’s removed from the PPP forgiveness amount - net zero...
          Section 1110 of the CARES Act specifically addresses this. The amount of any EIDL advance is reduced from the amount forgivable on a PPP loan.

          averagedude
          Posts: 1148
          Joined: Sun May 13, 2018 3:41 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by averagedude » Sat Apr 04, 2020 12:13 am

          I know a small business owner that applied for this, and has had no decrease in his business. Doesn't know if he will get anything, but if you want free money, you must get in line. Give it a couple of months and stories will come out on how individuals and businesses are taking advantage of this helicopter money.

          kmurp
          Posts: 373
          Joined: Fri Jun 01, 2007 1:53 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by kmurp » Sat Apr 04, 2020 4:23 am

          averagedude wrote:
          Sat Apr 04, 2020 12:13 am
          I know a small business owner that applied for this, and has had no decrease in his business. Doesn't know if he will get anything, but if you want free money, you must get in line. Give it a couple of months and stories will come out on how individuals and businesses are taking advantage of this helicopter money.
          I guess I can’t blame the guy but they should have written in a requirement that forces the borrower to demonstrate decreased revenues for the covered period at the time that loan forgiveness is calculated. I know that revenue for our business is down maybe 90% at this time and we hope that there will be money for us when we are finally able to apply. Actions like the above only lower our chance. As an aside, we are part of our hospital surge plan for covid and have no way to pay our personnel for this coverage at this time without the loan.

          veena9111
          Posts: 85
          Joined: Sat Jan 10, 2015 6:54 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by veena9111 » Sat Apr 04, 2020 4:41 am

          I applied for the loan on 3/30/2020. Though several others have received the direct deposit, mine hasn't come through. Does anybody else have that happen? Thank you

          Topic Author
          Theseus
          Posts: 788
          Joined: Sat Jan 23, 2016 9:40 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by Theseus » Sat Apr 04, 2020 6:07 am

          gilgamesh wrote:
          Fri Apr 03, 2020 10:23 pm
          Theseus wrote:
          Fri Apr 03, 2020 10:13 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 9:34 pm
          Theseus wrote:
          Thu Apr 02, 2020 8:03 am
          gilgamesh wrote:
          Thu Apr 02, 2020 7:58 am


          We know the ‘Families First Coronavirus’ bill went into effect yesterday after 15 days from being signed into law....it is widely reported that CARES act will also need that (they do have to setup the system)...I searched for ‘15 days’ on the bill and got multiple hits with various provisions explicitly saying it will take 15 days from signing, but not EIDL advance. That’s all I have ...
          That's good to know. I am hoping they don't delay EIDL advance like that. We need to get help to people as soon as possible. They are probably worried about fraud etc. But IMHO there will be time to deal with that later. Hopefully they won't perfect be the enemy of good.
          Hey do you know whether PPP is for each business or each owner? I have two businesses with 2 different tax ID....I have two schedule C, two sets of 941...however, could as an owner I can qualify for $8,333/month limit?

          Do you think I can take two different PPP loan for each business? Or one?....I am 100% owner for both?

          The a-location has this - During the period beginning on February 15, 2020 and ending on December 31, 2020, the Applicant has not and will not receive another loan under the Paycheck Protection Program.
          Yes each business is eligible for PPP. Applicant here refers to the business entity. Although if you have two gigs as a sole proprietor or independent contractor I am not sure how that will be handled. But I still think it should be ok. But you never know with these rulings.
          I am a sole proprietor (Registered as LLC, but disregarded entity for tax purposes)...I have employees and it is clear I can apply now....I know I was able to apply for two different EIDL advance...but the loan especially asking that an applicant cannot apply twice threw me off.

          So you are pretty sure I can do this?
          I am not 100% sure. Perhaps your banker can provide guidance?

          AlexC
          Posts: 46
          Joined: Mon Aug 03, 2009 3:41 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by AlexC » Sat Apr 04, 2020 6:19 am

          As of Friday BofA has removed the loan/CC stipulation but I've been trying to apply and their servers just time out. Good luck everyone!

          User avatar
          JonnyDVM
          Posts: 2174
          Joined: Wed Feb 12, 2014 6:51 pm
          Location: Atlanta, GA

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by JonnyDVM » Sat Apr 04, 2020 7:34 am

          AlexC wrote:
          Sat Apr 04, 2020 6:19 am
          As of Friday BofA has removed the loan/CC stipulation but I've been trying to apply and their servers just time out. Good luck everyone!
          Got my application in. *baby pumping fist meme*

          Here is the link that I navigated through to get in. Hope it helps

          https://about.bankofamerica.com/promo/a ... stSBShlCta
          I’d trade it all for a little more | -C Montgomery Burns

          User avatar
          JonnyDVM
          Posts: 2174
          Joined: Wed Feb 12, 2014 6:51 pm
          Location: Atlanta, GA

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by JonnyDVM » Sat Apr 04, 2020 7:46 am

          kmurp wrote:
          Sat Apr 04, 2020 4:23 am
          averagedude wrote:
          Sat Apr 04, 2020 12:13 am
          I know a small business owner that applied for this, and has had no decrease in his business. Doesn't know if he will get anything, but if you want free money, you must get in line. Give it a couple of months and stories will come out on how individuals and businesses are taking advantage of this helicopter money.
          I guess I can’t blame the guy but they should have written in a requirement that forces the borrower to demonstrate decreased revenues for the covered period at the time that loan forgiveness is calculated. I know that revenue for our business is down maybe 90% at this time and we hope that there will be money for us when we are finally able to apply. Actions like the above only lower our chance. As an aside, we are part of our hospital surge plan for covid and have no way to pay our personnel for this coverage at this time without the loan.
          I thought that too...for March. Then April came around and...crickets. Yesterday I had five employees sitting around most of the day doing very little. Many businesses saw a little surge in March as clients scrambled to get things done before hunkering down. The cold reality is almost all of us who own a business are going to be affected negatively in some way. It's a matter of how much and for how long. Yesterday, I think for the first time I started to question if I should continue to toss money into the equities market in case this turns into a worst-case scenario. I keep telling myself it could be worse....at least I don't own a restaurant.
          I’d trade it all for a little more | -C Montgomery Burns

          theplayer11
          Posts: 1221
          Joined: Tue Jul 22, 2014 8:55 pm

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by theplayer11 » Sat Apr 04, 2020 7:53 am

          Anyone thinking about applying through 2 different institutions and just not going through with the one that is behind in the process? I'm assuming loan will not be processed until payroll info is verified, so it will be easy to see which bank is ahead in the process.

          Edit-the reason I'm considering this is that I have seasonal employees and not sure how each individual bank will look at the payroll numbers. For example, BofA states seasonal workers from 2/15-6/30 whereas the law states a 3/1 date can be elected by the borrower.

          User avatar
          gilgamesh
          Posts: 1607
          Joined: Sun Jan 10, 2016 9:29 am

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by gilgamesh » Sat Apr 04, 2020 8:48 am

          AerialWombat wrote:
          Fri Apr 03, 2020 11:59 pm
          gilgamesh wrote:
          Fri Apr 03, 2020 7:37 am
          In fact the interim guidelines does not say how this advance of up to $10k is treated when it comes to PPP forgiveness - just says ‘SBA will issue further guidelines’....so, the worse is they can say it’s removed from the PPP forgiveness amount - net zero...
          Section 1110 of the CARES Act specifically addresses this. The amount of any EIDL advance is reduced from the amount forgivable on a PPP loan.
          Yes I know, but the regulatory bodies will issue guidelines which has been different ...Senator Mendez site and others have mentioned, if it was used for same purposes. But, I think it will be interpreted the way it’s written in the law...

          lessismore22
          Posts: 148
          Joined: Sun Jul 01, 2018 8:02 pm
          Location: USA

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by lessismore22 » Sat Apr 04, 2020 9:04 am

          JonnyDVM wrote:
          Sat Apr 04, 2020 7:46 am
          kmurp wrote:
          Sat Apr 04, 2020 4:23 am
          averagedude wrote:
          Sat Apr 04, 2020 12:13 am
          I know a small business owner that applied for this, and has had no decrease in his business. Doesn't know if he will get anything, but if you want free money, you must get in line. Give it a couple of months and stories will come out on how individuals and businesses are taking advantage of this helicopter money.
          I guess I can’t blame the guy but they should have written in a requirement that forces the borrower to demonstrate decreased revenues for the covered period at the time that loan forgiveness is calculated. I know that revenue for our business is down maybe 90% at this time and we hope that there will be money for us when we are finally able to apply. Actions like the above only lower our chance. As an aside, we are part of our hospital surge plan for covid and have no way to pay our personnel for this coverage at this time without the loan.
          I thought that too...for March. Then April came around and...crickets. Yesterday I had five employees sitting around most of the day doing very little. Many businesses saw a little surge in March as clients scrambled to get things done before hunkering down. The cold reality is almost all of us who own a business are going to be affected negatively in some way. It's a matter of how much and for how long. Yesterday, I think for the first time I started to question if I should continue to toss money into the equities market in case this turns into a worst-case scenario. I keep telling myself it could be worse....at least I don't own a restaurant.
          I have had the same experience. On paper I don't have a noticeable decrease in revenue....yet. But it's certainly going to have an affect. I have multiple salespeople on salary that are at home now selling 1/10th of what they normally would. I'm not laying anyone off and have therefore applied for the PPP Loan. I'm using a regional bank that I have my business checking account and our primary mortgage through. They started accepting applications yesterday(Friday) afternoon. Needed to supply them with supporting documents for payroll, rent, utilities. Have not heard back since I submitted it. I will post updates as I receive them from my bank.

          User avatar
          simplesimon
          Posts: 3779
          Joined: Mon Feb 25, 2008 8:53 pm
          Location: Boston, MA

          Re: Stimulus help for small businesses, sole proprietors, s-corp etc

          Post by simplesimon » Sat Apr 04, 2020 10:57 am

          Hi all, great thread. I’m posting for a friend who wants to know if he’s doing the right things:

          Works as an independent contractors and made about $70k in 2019 but is significantly impacted by COVID in 2020.

          1099 income from one employer.
          Applied for $10k EIDL grant on April 3.
          Awaiting UI guidance from the state.
          Will file for PPP on April 10.

          Is there anything else he should do?

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