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

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

Post by AnonLady » Wed Apr 22, 2020 6:12 pm

Uh oh, this is the first I heard of the EIDL program that I believe I qualify for, as a sole proprietor run Airnb short term rental business owner, and now it looks like they are out of funds already. I don't believe I qualify for PPP because I don't have any payroll, I'm the only one the business pays. Hopefully they increase the funding soon and I can apply for the EIDL when it does.

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

Post by gasdoc » Wed Apr 22, 2020 6:17 pm

AnonLady wrote:
Wed Apr 22, 2020 6:12 pm
Uh oh, this is the first I heard of the EIDL program that I believe I qualify for, as a sole proprietor run Airnb short term rental business owner, and now it looks like they are out of funds already. I don't believe I qualify for PPP because I don't have any payroll, I'm the only one the business pays. Hopefully they increase the funding soon and I can apply for the EIDL when it does.
The EIDL is only worth $1000 to you as a sole proprietor. It is the PPP you are interested in. Read through the earlier threads for good information.

gasdoc

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

Post by Sylvie » Wed Apr 22, 2020 6:18 pm

AnonLady wrote:
Wed Apr 22, 2020 6:12 pm
Uh oh, this is the first I heard of the EIDL program that I believe I qualify for, as a sole proprietor run Airnb short term rental business owner, and now it looks like they are out of funds already. I don't believe I qualify for PPP because I don't have any payroll, I'm the only one the business pays. Hopefully they increase the funding soon and I can apply for the EIDL when it does.
My understanding is that you yourself do count for PPP as one "employee."

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

Post by AnonLady » Wed Apr 22, 2020 6:32 pm

Sylvie wrote:
Wed Apr 22, 2020 6:18 pm
AnonLady wrote:
Wed Apr 22, 2020 6:12 pm
Uh oh, this is the first I heard of the EIDL program that I believe I qualify for, as a sole proprietor run Airnb short term rental business owner, and now it looks like they are out of funds already. I don't believe I qualify for PPP because I don't have any payroll, I'm the only one the business pays. Hopefully they increase the funding soon and I can apply for the EIDL when it does.
My understanding is that you yourself do count for PPP as one "employee."
I guess the point is moot for either program until they fill up the funding again. But I will keep that in mind if they fund PPP some more.

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

Post by moshe » Thu Apr 23, 2020 10:41 am

https://www.cnbc.com/2020/04/23/us-issu ... funds.html

"Companies applying for coronavirus relief funds must certify that the loans are necessary and that they cannot tap other sources of funding, the SBA said."

So if we do not max our credit cards or apply for other forms of loans first, sell off assets, write a personal check from the owners, etc. we cannot apply for a PPP/EIDL loan?

Great. Just great.
My money has no emotions. ~Moshe | | I'm the world's greatest expert on my own opinion. ~Bruce Williams

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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 » Thu Apr 23, 2020 11:48 am

moshe wrote:
Thu Apr 23, 2020 10:41 am
https://www.cnbc.com/2020/04/23/us-issu ... funds.html

"Companies applying for coronavirus relief funds must certify that the loans are necessary and that they cannot tap other sources of funding, the SBA said."

So if we do not max our credit cards or apply for other forms of loans first, sell off assets, write a personal check from the owners, etc. we cannot apply for a PPP/EIDL loan?

Great. Just great.
Wow. The "guidance" could not be more opaque. What the heck???
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 » Thu Apr 23, 2020 11:55 am

Here is the relevant section, question #31, in the "guidelines" at the Treasury:

"Although the CARES Act suspends the ordinary requirement that borrowers must be unable to obtain credit elsewhere (as defined in section 3(h) of the Small Business Act), borrowers still must certify in good faith that their PPP loan request is necessary. Specifically, before submitting a PPP application, all borrowers should review carefully the required certification that “[c]urrent economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.” Borrowers must make this certification in good faith, taking into account their current business activity and their ability to access other sources of liquidity sufficient to support their ongoing operations in a manner that is not significantly detrimental to the business."

Surely there are bigger brains than mine who can interpret this really, really broad "definition"... ugh.
PDF here:
https://home.treasury.gov/system/files/ ... stions.pdf
Cheers

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

Post by simplesimon » Thu Apr 23, 2020 11:56 am

Harry Livermore wrote:
Thu Apr 23, 2020 11:48 am
moshe wrote:
Thu Apr 23, 2020 10:41 am
https://www.cnbc.com/2020/04/23/us-issu ... funds.html

"Companies applying for coronavirus relief funds must certify that the loans are necessary and that they cannot tap other sources of funding, the SBA said."

So if we do not max our credit cards or apply for other forms of loans first, sell off assets, write a personal check from the owners, etc. we cannot apply for a PPP/EIDL loan?

Great. Just great.
Wow. The "guidance" could not be more opaque. What the heck???
Cheers
If you're not a company like Shake Shack, you probably don't have to worry.

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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 » Thu Apr 23, 2020 12:04 pm

simplesimon wrote:
Thu Apr 23, 2020 11:56 am

If you're not a company like Shake Shack, you probably don't have to worry.
You sure about that? I have other access to money; I have a cash management account, and a line of credit. "Borrowers must make this certification in good faith, taking into account their current business activity and their ability to access other sources of liquidity sufficient to support their ongoing operations in a manner that is not significantly detrimental to the business."
Well, yes, if I exhaust my business cash and max out the LOC, I'd say that is pretty significant. And my business has gone to ZERO. But that's MY opinion. It sounds like that's open to interpretation now by a staffer at Treasury or the SBA.
I mean, I'm not going to withdraw my application but hoo-boy...
Cheers

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

Post by moshe » Thu Apr 23, 2020 12:14 pm

Harry Livermore wrote:
Thu Apr 23, 2020 12:04 pm
simplesimon wrote:
Thu Apr 23, 2020 11:56 am

If you're not a company like Shake Shack, you probably don't have to worry.
You sure about that? I have other access to money; I have a cash management account, and a line of credit. "Borrowers must make this certification in good faith, taking into account their current business activity and their ability to access other sources of liquidity sufficient to support their ongoing operations in a manner that is not significantly detrimental to the business."
Well, yes, if I exhaust my business cash and max out the LOC, I'd say that is pretty significant. And my business has gone to ZERO. But that's MY opinion. It sounds like that's open to interpretation now by a staffer at Treasury or the SBA.
I mean, I'm not going to withdraw my application but hoo-boy...
Cheers
I cannot sign on to this new requirement in good faith so if the bank asks me to sign a new "Legal Attestation" which i already signed which did not have this requirement to received funds, i will withdraw my application and not accept the money. If my business becomes unsustainable i will file for unemployment, go on ACA and wait for SSA to kick in.

~Moshe
My money has no emotions. ~Moshe | | I'm the world's greatest expert on my own opinion. ~Bruce Williams

grp2c
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by grp2c » Thu Apr 23, 2020 4:17 pm

So does this mean the PPP loan is no longer available to self employed sole proprietors who have not been working and have been living off their emergency funds?

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

Post by cashmoney » Thu Apr 23, 2020 4:37 pm

Anybody know if this means I will get funded for the PPP loan.I was able create an account at the SBA Etran website using my Etran # and it shows the loan amount and says "Active Un-Disbursed " with a 4/14/20 originated date.I hear from some internet strangers I am good as long as I have the Etran number but I also read I still may be out of luck.

In case anybody wants to know how you can look up their loan status I found the this on Reddit:



Most people don't realize this, but you can bypass the banks and lenders and check directly on your loan status with the SBA. It works for PPP and EIDL as long as you have an SBA loan number.

Go to this link and from the drop down select "borrower", then create an account and login. It's that easy.

https://caweb.sba.gov/cls/dsp_addcustomer.cfm

Edit: further clarification. This is NOT to check application status. This is for approved loans waiting on disbursement or already dispursed.

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

Post by Jimsad » Thu Apr 23, 2020 5:05 pm

Harry Livermore wrote:
Thu Apr 23, 2020 12:04 pm
simplesimon wrote:
Thu Apr 23, 2020 11:56 am

If you're not a company like Shake Shack, you probably don't have to worry.
You sure about that? I have other access to money; I have a cash management account, and a line of credit. "Borrowers must make this certification in good faith, taking into account their current business activity and their ability to access other sources of liquidity sufficient to support their ongoing operations in a manner that is not significantly detrimental to the business."
Well, yes, if I exhaust my business cash and max out the LOC, I'd say that is pretty significant. And my business has gone to ZERO. But that's MY opinion. It sounds like that's open to interpretation now by a staffer at Treasury or the SBA.
I mean, I'm not going to withdraw my application but hoo-boy...
Cheers
If you have to exhaust your cash reserve and access line of credit to maintain your company payroll - that is definitely detrimental to the business in my opinion .
In my case , I think I am justified to apply for PPP loan to avoid being in the above ‘detrimental situation ‘

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

Post by Hayden » Fri Apr 24, 2020 9:49 am

Still waiting to receive EIDL (Did receive the email stating the money was coming).

How would one know if the grant was rejected for some reason? Does SBA notify the applicant?

Are other businesses that received the EIDL email still waiting for funds?

Are you just keeping your credit unlocked, indefinitely, while you wait?

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MP123
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by MP123 » Fri Apr 24, 2020 10:53 am

Hayden wrote:
Fri Apr 24, 2020 9:49 am
Still waiting to receive EIDL (Did receive the email stating the money was coming).

How would one know if the grant was rejected for some reason? Does SBA notify the applicant?

Are other businesses that received the EIDL email still waiting for funds?

Are you just keeping your credit unlocked, indefinitely, while you wait?
We just got the EIDL grant yesterday, applied Apr 3. No fanfare, no email, it just showed up in the account. Haven't heard anything about the EIDL loan itself, but not interested in that anyway.

My credit was locked at all credit agencies throughout the process. YMMV, of course.

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

Post by BogleFanGal » Fri Apr 24, 2020 11:03 am

MP123 wrote:
Fri Apr 24, 2020 10:53 am
Hayden wrote:
Fri Apr 24, 2020 9:49 am
My credit was locked at all credit agencies throughout the process. YMMV, of course.
Wow...surprised to hear this. I thought you had to unlock experian as they check that file. Good for you. I hate keeping mine open but am doing so hoping I hear something on EIDL. Will definitely lock all files once this 2nd upcoming round of PPP is gone.
"Life would be infinitely happier if we could only be born at the age of eighty and gradually approach eighteen." Mark Twain

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MP123
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by MP123 » Fri Apr 24, 2020 11:14 am

Many people have reported a credit check at Experian prior to getting the grant, but mine was locked everywhere and I still got it ok. Perhaps they accept locked credit? It's not really clear what personal credit history has to do with a business grant anyway, or what FICO score would be acceptable or not.

I didn't really like the idea of unfreezing my credit, and never got around to doing that before the money showed up.

No guarantees though...

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

Post by Nyarlathotep » Fri Apr 24, 2020 2:03 pm

MP123 wrote:
Fri Apr 24, 2020 10:53 am
We just got the EIDL grant yesterday, applied Apr 3. No fanfare, no email, it just showed up in the account. Haven't heard anything about the EIDL loan itself, but not interested in that anyway.

My credit was locked at all credit agencies throughout the process. YMMV, of course.
One of my credit card companies notified me that the SBA "requested a copy of my credit file" yesterday (Apr 23), but as of today still no EIDL money for me. I'm wondering what the typical delay is between credit check and funding. Anyone who's actually gotten their EIDL advance (and had their credit pulled by SBA) care to weigh in on this?

ryan1982
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by ryan1982 » Fri Apr 24, 2020 2:21 pm

I'm a Real Estate Broker/REALTOR(R). I'm a sole proprietor. I applied for the EIDL on April 1. I received a $1,000 direct deposit into my business checking account this morning. The SBA pulled my credit today. I wasn't expecting that the SBA would pull my credit for a forgivable advance, so I called the SBA. Surprisingly, there was no wait time. The rep was very helpful. When you apply for the EIDL, you apply for both the advance and the loan. The advance is the first half. The loan is the second half. The loan is optional. It's not clear to me whether the advance is guaranteed forgivable or if we'll be required to provide some sort of justification in the future like with the PPP. I won't take the loan.

I also decided to skip the PPP. Initially, I had planned to apply for all relief. Now I'm content accepting just the EIDL advance. It's low-risk assistance whereas the loan portion and the PPP carry a bit more risk in my eyes, especially if you're not currently hurting for assistance.

I had also planned to avail myself of other relief, like suspending car and mortgage payments. I did go forward with suspending my car payment for two months, but I passed on suspending my mortgage payment. Car dealerships are now offering in some cases a six month grace period before the first payment is due. You don't ever see this type of incentive with mortgages for many reasons. I bought my car only about a year ago. I want that grace period now, so I'm taking what I can get. Suspending my mortgage payment exceeds my tolerance for risk at this time.

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

Post by Hayden » Fri Apr 24, 2020 3:46 pm

Has anyone looked into the Employee Retention Credit? I have a small S Corp. The employee retention credit might make more sense for me than the PPP.

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

Post by theplayer11 » Fri Apr 24, 2020 5:26 pm

ryan1982 wrote:
Fri Apr 24, 2020 2:21 pm
I'm a Real Estate Broker/REALTOR(R). I'm a sole proprietor. I applied for the EIDL on April 1. I received a $1,000 direct deposit into my business checking account this morning. The SBA pulled my credit today. I wasn't expecting that the SBA would pull my credit for a forgivable advance, so I called the SBA. Surprisingly, there was no wait time. The rep was very helpful. When you apply for the EIDL, you apply for both the advance and the loan. The advance is the first half. The loan is the second half. The loan is optional. It's not clear to me whether the advance is guaranteed forgivable or if we'll be required to provide some sort of justification in the future like with the PPP. I won't take the loan.

I also decided to skip the PPP. Initially, I had planned to apply for all relief. Now I'm content accepting just the EIDL advance. It's low-risk assistance whereas the loan portion and the PPP carry a bit more risk in my eyes, especially if you're not currently hurting for assistance.

I had also planned to avail myself of other relief, like suspending car and mortgage payments. I did go forward with suspending my car payment for two months, but I passed on suspending my mortgage payment. Car dealerships are now offering in some cases a six month grace period before the first payment is due. You don't ever see this type of incentive with mortgages for many reasons. I bought my car only about a year ago. I want that grace period now, so I'm taking what I can get. Suspending my mortgage payment exceeds my tolerance for risk at this time.
You applied for an EIDL loan, the advance was just an option.

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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 24, 2020 9:43 pm

Can someone explain to me what is this 7(a) loan and how do I apply? This was brought up before...this loan from SBA can be applied until September and still have 6 months paid. It’s not the PPP 7(a) as the SBA will not pay principal and interest for PPP.

https://www.sba.gov/funding-programs/lo ... ebt-relief
The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.

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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 24, 2020 9:45 pm

Hayden wrote:
Fri Apr 24, 2020 3:46 pm
Has anyone looked into the Employee Retention Credit? I have a small S Corp. The employee retention credit might make more sense for me than the PPP.
Yes I have...

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MP123
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by MP123 » Fri Apr 24, 2020 10:05 pm

gilgamesh wrote:
Fri Apr 24, 2020 9:43 pm
Can someone explain to me what is this 7(a) loan and how do I apply? This was brought up before...this loan from SBA can be applied until September and still have 6 months paid. It’s not the PPP 7(a) as the SBA will not pay principal and interest for PPP.

https://www.sba.gov/funding-programs/lo ... ebt-relief
The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Section 7(a) loans are the traditional SBA loans that many companies may already have and have been around for a long time. The EIDL and PPP are an overlay on top created by the CARES act.

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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 24, 2020 10:10 pm

MP123 wrote:
Fri Apr 24, 2020 10:05 pm
gilgamesh wrote:
Fri Apr 24, 2020 9:43 pm
Can someone explain to me what is this 7(a) loan and how do I apply? This was brought up before...this loan from SBA can be applied until September and still have 6 months paid. It’s not the PPP 7(a) as the SBA will not pay principal and interest for PPP.

https://www.sba.gov/funding-programs/lo ... ebt-relief
The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Section 7(a) loans are the traditional SBA loans that many companies may already have and have been around for a long time. The EIDL and PPP are an overlay on top created by the CARES act.
The EIDL advance and PPP was new through CARES Act....but the underlying EIDL is an old loan, right - is that the one?

It says the loan can be issued prior to September, 27, 2020 - how does one apply for this?

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MP123
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by MP123 » Fri Apr 24, 2020 10:33 pm

gilgamesh wrote:
Fri Apr 24, 2020 10:10 pm
MP123 wrote:
Fri Apr 24, 2020 10:05 pm
gilgamesh wrote:
Fri Apr 24, 2020 9:43 pm
Can someone explain to me what is this 7(a) loan and how do I apply? This was brought up before...this loan from SBA can be applied until September and still have 6 months paid. It’s not the PPP 7(a) as the SBA will not pay principal and interest for PPP.

https://www.sba.gov/funding-programs/lo ... ebt-relief
The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Section 7(a) loans are the traditional SBA loans that many companies may already have and have been around for a long time. The EIDL and PPP are an overlay on top created by the CARES act.
The EIDL advance and PPP was new through CARES Act....but the underlying EIDL is an old loan, right - is that the one?

It says the loan can be issued prior to September, 27, 2020 - how does one apply for this?
The SBA has been giving loans (non-emergency) through specific lenders long before of all this coronavirus stuff, you may be able to get one but I'd guess they're busy with the emergency ones right now. I believe those that have one get a break under CARES which is what is referred to above.

The new EIDL is a streamlined version of the old long form EIDL that's been around for past disasters but not on this scale.

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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 24, 2020 10:53 pm

MP123 wrote:
Fri Apr 24, 2020 10:33 pm
gilgamesh wrote:
Fri Apr 24, 2020 10:10 pm
MP123 wrote:
Fri Apr 24, 2020 10:05 pm
gilgamesh wrote:
Fri Apr 24, 2020 9:43 pm
Can someone explain to me what is this 7(a) loan and how do I apply? This was brought up before...this loan from SBA can be applied until September and still have 6 months paid. It’s not the PPP 7(a) as the SBA will not pay principal and interest for PPP.

https://www.sba.gov/funding-programs/lo ... ebt-relief
The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Section 7(a) loans are the traditional SBA loans that many companies may already have and have been around for a long time. The EIDL and PPP are an overlay on top created by the CARES act.
The EIDL advance and PPP was new through CARES Act....but the underlying EIDL is an old loan, right - is that the one?

It says the loan can be issued prior to September, 27, 2020 - how does one apply for this?
The SBA has been giving loans (non-emergency) through specific lenders long before of all this coronavirus stuff, you may be able to get one but I'd guess they're busy with the emergency ones right now. I believe those that have one get a break under CARES which is what is referred to above.

The new EIDL is a streamlined version of the old long form EIDL that's been around for past disasters but not on this scale.
I applied both the long version and the short version....I know of many who got the EIDL advance and the underlying EIDL loan. I have received the advance and waiting for the email to direct me on my underlying much larger EIDL loan. What is this larger underlying EIDL loan called? Is that the 7(a)?

I know the EIDL advance and PPP are new CARES Act loans....I also know the underlying EIDL is the old loan. My question is, is this underlying old EIDL loan the 7(a) loan eligible for the 6 month payment?

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MP123
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by MP123 » Fri Apr 24, 2020 11:15 pm

gilgamesh wrote:
Fri Apr 24, 2020 10:53 pm
MP123 wrote:
Fri Apr 24, 2020 10:33 pm
gilgamesh wrote:
Fri Apr 24, 2020 10:10 pm
MP123 wrote:
Fri Apr 24, 2020 10:05 pm
gilgamesh wrote:
Fri Apr 24, 2020 9:43 pm
Can someone explain to me what is this 7(a) loan and how do I apply? This was brought up before...this loan from SBA can be applied until September and still have 6 months paid. It’s not the PPP 7(a) as the SBA will not pay principal and interest for PPP.

https://www.sba.gov/funding-programs/lo ... ebt-relief
The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Section 7(a) loans are the traditional SBA loans that many companies may already have and have been around for a long time. The EIDL and PPP are an overlay on top created by the CARES act.
The EIDL advance and PPP was new through CARES Act....but the underlying EIDL is an old loan, right - is that the one?

It says the loan can be issued prior to September, 27, 2020 - how does one apply for this?
The SBA has been giving loans (non-emergency) through specific lenders long before of all this coronavirus stuff, you may be able to get one but I'd guess they're busy with the emergency ones right now. I believe those that have one get a break under CARES which is what is referred to above.

The new EIDL is a streamlined version of the old long form EIDL that's been around for past disasters but not on this scale.
I applied both the long version and the short version....I know of many who got the EIDL advance and the underlying EIDL loan. I have received the advance and waiting for the email to direct me on my underlying much larger EIDL loan. What is this larger underlying EIDL loan called? Is that the 7(a)?

I know the EIDL advance and PPP are new CARES Act loans....I also know the underlying EIDL is the old loan. My question is, is this underlying old EIDL loan the 7(a) loan eligible for the 6 month payment?
My understanding is the 7(a) loans you refer to above that will be paid by SBA temporarily are regular SBA non-emergency loans, setup under section 7(a) of the Small Business Act.

The PPP has a six month deferment, but that's a different loan.

dru808
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by dru808 » Sat Apr 25, 2020 2:24 pm

Got the $1k eidl deposited today. Applied the first day the site went live, credit pull yesterday, deposited today.
60% US equity | 25% International equity | 15% US Treasury bonds

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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 » Tue Apr 28, 2020 1:17 pm

Another data point. $600 PUA appeared in my personal account. I assume I will log in on a weekly basis and continue to receive this while unemployed.
In summary, thus far: not eligible for UI, PPP is up in the air, EIDL came in for only $1K, and now perhaps $600/ week PUA. Still no COVID check; I think, based on our income, I got an estimate of $285 using an online calculator. But we have not received a refund in years; we always end up paying by paper check. So I imagine if we see anything it will be small and later in the year.
PPP is still up in the air. I will report back if anything happens there.
Cheers

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

Post by MrsRoos » Tue Apr 28, 2020 4:32 pm

DH got the $1,000 grant from the EIDL deposited into his account today. Application date was 4/2. Didn't apply for the PPP.

We are in CA and the unemployment office here didn't start to open for applications from the self-employed, gig workers etc. until today, a month after the PUA was enacted. The website crashed when DH tried to apply this morning. What a joke.
“Anyone who believes in indefinite growth in anything physical, on a physically finite planet, is either mad or an economist.” - Kenneth Boulding

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

Post by Sylvie » Tue Apr 28, 2020 6:27 pm

Harry Livermore wrote:
Tue Apr 28, 2020 1:17 pm
... PPP is up in the air, EIDL came in for only $1K, and now perhaps $600/ week PUA...
I thought PPP and unemployment insurance were "choose one." Can you get both? What are the rules?

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

Post by gasdoc » Tue Apr 28, 2020 6:30 pm

Sylvie wrote:
Tue Apr 28, 2020 6:27 pm
Harry Livermore wrote:
Tue Apr 28, 2020 1:17 pm
... PPP is up in the air, EIDL came in for only $1K, and now perhaps $600/ week PUA...
I thought PPP and unemployment insurance were "choose one." Can you get both? What are the rules?
At least in our state I think you can take unemployment up until you start paying people from the PPP.

gasdoc

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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 » Tue Apr 28, 2020 6:58 pm

Sylvie wrote:
Tue Apr 28, 2020 6:27 pm
Harry Livermore wrote:
Tue Apr 28, 2020 1:17 pm
... PPP is up in the air, EIDL came in for only $1K, and now perhaps $600/ week PUA...
I thought PPP and unemployment insurance were "choose one." Can you get both? What are the rules?
I earn some income via W2, from several employers. The majority of my income comes through my business (single person LLC) as pass-through. If and when the PPP comes through I will cease filing weekly with the state. Since the PPP is far from certain, I see no reason to not accept PUA, specifically meant for self-employed people.
To be clear, New York State has decided I'm ineligible for state unemployment, but eligible for the Federal PUA.
I got an email this afternoon from BOA indicating that my application has been passed to the SBA. They reiterated the new guidance about "taking into account their current business activity and their ability to access other sources of liquidity sufficient to support their ongoing operations in a manner that is not significantly detrimental to the business"
Cheers

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

Post by knightrider » Wed Apr 29, 2020 1:17 pm

I applied last week via Paypal which took me to loanbuilder. However, when I logged in today it just says:

"Your business does not have any open applications or loans at the moment."

Is this normal, or does it mean my application never went through?

DM5557
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Re: PPP for s-corp etc

Post by DM5557 » Wed Apr 29, 2020 3:24 pm

I am the owner and only employee of an LLC who files tax as an S-Corp. On April 5th I applied for the PPP loan per their rules (2.5x monthly payroll) and received a loan for $15,500 to cover loss of payroll during the period affected by the Covid-19 shutdown. My last day worked was March 24, 2020 so I have not earned income since that date. My loan was approved and funds distributed to my business account on April 27th. I understand that I now have 8 weeks (from the date The PPP funds were distributed to my business account) to use to provide myself payroll that I would otherwise receive if I were able to work. MY QUESTION IS: May I now write myself a check (out of the PPP funds) to cover my lost payroll for period March 25, 2020 thru April 26th, 2020, and then continue to write a new check each week going forward thru the remainder of the 8-week period (or until I am called back to work, whichever comes first)?
I feel this is fair, since The Covid-19 stay-at-home orders and general business close downs that occurred prevented me from earning an income during the period March 25 - April 26. Can anyone please offer an opinion?

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

Post by Jimsad » Wed Apr 29, 2020 3:27 pm

knightrider wrote:
Wed Apr 29, 2020 1:17 pm
I applied last week via Paypal which took me to loanbuilder. However, when I logged in today it just says:

"Your business does not have any open applications or loans at the moment."

Is this normal, or does it mean my application never went through?
The only way to be certain your PPP loan was processed was if you get a SBA loan approval number from your bank

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

Post by Alex Frakt » Wed Apr 29, 2020 3:49 pm

knightrider wrote:
Wed Apr 29, 2020 1:17 pm
I applied last week via Paypal which took me to loanbuilder. However, when I logged in today it just says:

"Your business does not have any open applications or loans at the moment."

Is this normal, or does it mean my application never went through?
I would assume it never went through.

After my bank denied my initial attempt (after sitting on it for a week with no explanation), I applied through PayPal on Monday. The way it worked for me was that I filled out the initial form on their site. They then sent me an e-mail, which said
Thank you for completing your online application for the Paycheck Protection Program loan through PayPal. We're here to support your business during these challenging times. Given the high volume of applications, we appreciate your patience as we process your request.

Here's what you can expect next.

Request for additional information:

To continue processing your online application, we will need documentation to confirm your average monthly payroll costs reflected on your online application. An email will be sent to you with additional details and next steps.

Portal access for document upload:

You now have access to our online portal, where you can upload documents, and if approved, check account details.

To access the portal, click the link below or copy/paste it into your browser, and use [my e-mail] to create login credentials.

[link to loanbuilder . com] ...
I followed the link and uploaded the requested info. On Monday night I received an e-mail requesting me to review and sign documents. This turned out to be the completed application and a loan repayment agreement with WebBank. After reviewing and signing and initialing everything, I submitted it around 11pm Monday night.

On Tuesday night, I received the following letter from Paypal:
Thank you for submitting your application for the Paycheck Protection Program loan through PayPal. We understand the challenges your business is facing and are working as hard as we can to help secure your funding.

Your PPP loan application is complete and will be processed through the SBA as soon as we are able.

The additional funding Congress allocated to the Paycheck Protection Program became available on Monday, April 27. Since then, we have processed applications through the SBA as quickly as we are permitted. Due to the unprecedented demand, the SBA processing is taking longer than anticipated. We expect that it will take several more days for us to process completed applications through the SBA and to receive the required SBA loan number necessary for funding. For funding to occur, the SBA must accept your application and program funds must remain available....
So now I sit and hope :|

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

Post by fareastwarriors » Wed Apr 29, 2020 4:17 pm

Is the application for covid-related EIDL application still open?
What's the link?


Edit:
I think I found my answer:

Notice: Lapse in Appropriations
SBA is unable to accept new applications at this time for the Economic Injury Disaster Loan (EIDL)-COVID-19 related assistance program (including EIDL Advances) based on available appropriations funding.
Applicants who have already submitted their applications will continue to be processed on a first-come, first-served basis.

https://www.sba.gov/funding-programs/lo ... cy-advance
Last edited by fareastwarriors on Wed Apr 29, 2020 5:12 pm, edited 1 time in total.

DM5557
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Re: Stimulus help for small businesses, sole proprietors, s-corp etc

Post by DM5557 » Wed Apr 29, 2020 5:01 pm

QUESTION RE: PPP LOAN
I am the owner and only employee of an LLC who files tax as an S-Corp. On April 5th I applied for the PPP loan per their rules (2.5x monthly payroll) and received a loan for $15,500 to cover loss of payroll during the period affected by the Covid-19 shutdown. My last day worked was March 24, 2020 so I have not earned income since that date. My loan was approved and funds distributed to my business account on April 27th. I understand that I now have 8 weeks (from the date The PPP funds were distributed to my business account) to use to provide myself payroll that I would otherwise receive if I were able to work. MY QUESTION IS: May I now write myself a check (out of the PPP funds) to cover my lost payroll for period March 25, 2020 thru April 26th, 2020, and then continue to write a new check each week going forward thru the remainder of the 8-week period (or until I am called back to work, whichever comes first)?
I feel this is fair, since The Covid-19 stay-at-home orders and general business close downs that occurred prevented me from earning an income during the period March 25 - April 26. Can anyone please offer an opinion? Thank you.

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

Post by crystalbank » Wed Apr 29, 2020 5:04 pm

Alex Frakt wrote:
Wed Apr 29, 2020 3:49 pm
knightrider wrote:
Wed Apr 29, 2020 1:17 pm
I applied last week via Paypal which took me to loanbuilder. However, when I logged in today it just says:

"Your business does not have any open applications or loans at the moment."

Is this normal, or does it mean my application never went through?
I would assume it never went through.

After my bank denied my initial attempt (after sitting on it for a week with no explanation), I applied through PayPal on Monday. The way it worked for me was that I filled out the initial form on their site. They then sent me an e-mail, which said
Thank you for completing your online application for the Paycheck Protection Program loan through PayPal. We're here to support your business during these challenging times. Given the high volume of applications, we appreciate your patience as we process your request.

Here's what you can expect next.

Request for additional information:

To continue processing your online application, we will need documentation to confirm your average monthly payroll costs reflected on your online application. An email will be sent to you with additional details and next steps.

Portal access for document upload:

You now have access to our online portal, where you can upload documents, and if approved, check account details.

To access the portal, click the link below or copy/paste it into your browser, and use [my e-mail] to create login credentials.

[link to loanbuilder . com] ...
I followed the link and uploaded the requested info. On Monday night I received an e-mail requesting me to review and sign documents. This turned out to be the completed application and a loan repayment agreement with WebBank. After reviewing and signing and initialing everything, I submitted it around 11pm Monday night.

On Tuesday night, I received the following letter from Paypal:
Thank you for submitting your application for the Paycheck Protection Program loan through PayPal. We understand the challenges your business is facing and are working as hard as we can to help secure your funding.

Your PPP loan application is complete and will be processed through the SBA as soon as we are able.

The additional funding Congress allocated to the Paycheck Protection Program became available on Monday, April 27. Since then, we have processed applications through the SBA as quickly as we are permitted. Due to the unprecedented demand, the SBA processing is taking longer than anticipated. We expect that it will take several more days for us to process completed applications through the SBA and to receive the required SBA loan number necessary for funding. For funding to occur, the SBA must accept your application and program funds must remain available....
So now I sit and hope :|
Thanks for the info. Looks like you made it further than me. I received the DocuSign request last Friday but DocuSign was unable to verify my identity through public databases and didn't let me sign the finished application.

Called PayPal today and they were not sure if they are able to do much. I guess they'd rather not waste time fixing the DocuSign issue given the current application backlog. Anyways I gave up hope that I'll ever receive the loan and good luck to you!

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

Post by Alex Frakt » Wed Apr 29, 2020 8:09 pm

FWIW, the identity verification questions seemed to be directly from one of the credit reporting agencies. I had to answer the same things when putting a freeze on our credit a couple of years ago when someone stole my wife's wallet and started getting store credit cards in her name.

Maybe you can get your credit report, then reapply and use it to help you when you get to that step?

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

Post by theplayer11 » Wed Apr 29, 2020 8:13 pm

DM5557 wrote:
Wed Apr 29, 2020 5:01 pm
QUESTION RE: PPP LOAN
I am the owner and only employee of an LLC who files tax as an S-Corp. On April 5th I applied for the PPP loan per their rules (2.5x monthly payroll) and received a loan for $15,500 to cover loss of payroll during the period affected by the Covid-19 shutdown. My last day worked was March 24, 2020 so I have not earned income since that date. My loan was approved and funds distributed to my business account on April 27th. I understand that I now have 8 weeks (from the date The PPP funds were distributed to my business account) to use to provide myself payroll that I would otherwise receive if I were able to work. MY QUESTION IS: May I now write myself a check (out of the PPP funds) to cover my lost payroll for period March 25, 2020 thru April 26th, 2020, and then continue to write a new check each week going forward thru the remainder of the 8-week period (or until I am called back to work, whichever comes first)?
I feel this is fair, since The Covid-19 stay-at-home orders and general business close downs that occurred prevented me from earning an income during the period March 25 - April 26. Can anyone please offer an opinion? Thank you.
I believe it's only for the 8 week period, can't pay yourself retroactively.

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

Post by simplesimon » Thu Apr 30, 2020 6:59 am

E-signing was a one-time event at the small local bank we worked with - documents included the loan agreement and the note.

It sounds like PayPal/WebBank are having people e-sign the loan agreement before getting an SBA loan number and then the note after? I wonder why.

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

Post by gasdoc » Thu Apr 30, 2020 10:19 am

theplayer11 wrote:
Wed Apr 29, 2020 8:13 pm
DM5557 wrote:
Wed Apr 29, 2020 5:01 pm
QUESTION RE: PPP LOAN
I am the owner and only employee of an LLC who files tax as an S-Corp. On April 5th I applied for the PPP loan per their rules (2.5x monthly payroll) and received a loan for $15,500 to cover loss of payroll during the period affected by the Covid-19 shutdown. My last day worked was March 24, 2020 so I have not earned income since that date. My loan was approved and funds distributed to my business account on April 27th. I understand that I now have 8 weeks (from the date The PPP funds were distributed to my business account) to use to provide myself payroll that I would otherwise receive if I were able to work. MY QUESTION IS: May I now write myself a check (out of the PPP funds) to cover my lost payroll for period March 25, 2020 thru April 26th, 2020, and then continue to write a new check each week going forward thru the remainder of the 8-week period (or until I am called back to work, whichever comes first)?
I feel this is fair, since The Covid-19 stay-at-home orders and general business close downs that occurred prevented me from earning an income during the period March 25 - April 26. Can anyone please offer an opinion? Thank you.
I believe it's only for the 8 week period, can't pay yourself retroactively.
I also believe that it can only be used to pay employees (or self) for the eight weeks immediately following the proceeds being received.

gasdoc

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

Post by crystalbank » Thu Apr 30, 2020 1:35 pm

Alex Frakt wrote:
Wed Apr 29, 2020 8:09 pm
FWIW, the identity verification questions seemed to be directly from one of the credit reporting agencies. I had to answer the same things when putting a freeze on our credit a couple of years ago when someone stole my wife's wallet and started getting store credit cards in her name.

Maybe you can get your credit report, then reapply and use it to help you when you get to that step?
I unfroze my credit report at all the credit agencies and then called PayPal to resend the DocuSign link. But still no dice! DocuSign still wouldn't let me sign. PayPal seem to be not bothered with an alternative way of authentication so I guess it is what it is.

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

Post by rudeboy » Thu Apr 30, 2020 6:53 pm

Got my PPP loan through a local small bank today.

I primarily bank with Wells Fargo. Really glad I did not just submit through them.

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

Post by JonnyDVM » Thu Apr 30, 2020 7:38 pm

rudeboy wrote:
Thu Apr 30, 2020 6:53 pm
Got my PPP loan through a local small bank today.

I primarily bank with Wells Fargo. Really glad I did not just submit through them.
No kidding. BOA really really dropped the ball on this. Has anyone else received funding from round two? I got an email from PayPal day before yesterday that they had submitted my loan to the SBA but that’s it. Radio silence from BOA and quick books.
I’d trade it all for a little more | -C Montgomery Burns

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

Post by Alex Frakt » Thu Apr 30, 2020 11:32 pm

I got my loan today! It was originally submitted through PayPal on Monday. Approval letter came from PayPal at 4pm today (Thursday) and funds are already in my bank account.

PayPal works with WebBank out of Utah to process the loans. They have just under a billion in assets. I think I was one of the beneficiaries of the 8-hour ban on submitting applications that the SBA put on large banks Wednesday night.

I will note that I had a fairly straightforward application (I was only asking to cover W-2 employees and our health insurance costs) and I already had all the paperwork in PDF from my earlier denied application through my soon to be ex-bank.

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

Post by jjface » Thu Apr 30, 2020 11:53 pm

Alex Frakt wrote:
Thu Apr 30, 2020 11:32 pm
I got my loan today! It was originally submitted through PayPal on Monday. Approval letter came from PayPal at 4pm today (Thursday) and funds are already in my bank account.

PayPal works with WebBank out of Utah to process the loans. They have just under a billion in assets. I think I was one of the beneficiaries of the 8-hour ban on submitting applications that the SBA put on large banks Wednesday night.

I will note that I had a fairly straightforward application (I was only asking to cover W-2 employees and our health insurance costs) and I already had all the paperwork in PDF from my earlier denied application through my soon to be ex-bank.

Congrats to you but this is frustrating. Had mine in before yours, paypal processed it ready to send to sba before yours and I am still waiting for approval from the sba. So much for first come first serve paypal/sba.

Mine is so insignificant compared to most it is probably being handled by an intern.

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