CARES act forgivable loans for businesses

pk_

WKR
Joined
Jul 30, 2017
Messages
368
Location
Florida
You want the Paycheck Protection Program loan.
2.5 times monthly payroll, all forgiven if you maintain payroll.
salaries capped at $100,000 for calculating loan.

Banks here are supposed to roll it out tomorrow (Friday) but they don’t have everything from the feds yet.

this is what you’ll need to file with the bank. https://www.sba.gov/sites/default/files/2020-03/Borrower Paycheck Protection Program Application.pdf
My accountant said the is only for 2 weeks of sick pay if I get sick and can’t work. Or if my business is non-essential and can’t work.

I am an S-Corp Shareholder only paying payroll to myself...

I am so confused.

Edit. Scratch that. Misread her email. 🤦‍♂️
 
Last edited:

sneaky

"DADDY"
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Feb 1, 2014
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ID
I went to the website and took the little questionnaire about self employed being eligible for benefits. Didn't find a single combination of answers that said I would be eligible for anything. That program seems to be absolute garbage at this point.

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sneaky

"DADDY"
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Self em


Self employed can apply starting the 10th. She is going to treat things like she is the employee and look at her average monthly income. She can also pay rent or mortgage interest, but must pay mortgage principal out of what she receives as wages from that portion of things.

If she rents chairs in her salon to other beauticians she should encourage them to also file as self employed and they can then get a loan for their earnings plus rent and then they can still pay her.

So long as she doesn't fire herself or spend over 25% on utilities, rent, etc. These seem the most straight forward for forgiveness
I can tell you from personally answering their little 3 question questionnaire on the website for self employed people that every combination of answers I tried got the same "it would appear you will not be eligible for benefits under this program".

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Joined
Nov 25, 2016
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Utah
My accountant emailed me and simply wrote: "fill this out and take to bank asap"
So I called and asked what this was.
He said, "basically free money"

So I went to the bank, sat with the manager and filled out the sheet.
It appeared yesterday was the cut off date to this part I was involved in.

It looks like last years monthly payroll ave X 2.5 is the 60 day loan that has to be spent on utilities, mortgage, payroll.
That's what my sheet described.
I filled it out and hope to hear back from Accountant soon.
Fortunately this is our busy season, so as long as the virus doesn't shut down the factory, we will easily hit what ever loan amount they specify. If not it is a 1% interest over 2 years.
 
Joined
Jan 6, 2014
Messages
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AK
I can tell you from personally answering their little 3 question questionnaire on the website for self employed people that every combination of answers I tried got the same "it would appear you will not be eligible for benefits under this program".

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Do you have a link to this questionnaire?

Thanks!!
 

EastMT

WKR
Joined
Dec 19, 2016
Messages
2,872
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Eastern Montana
I would be a little nervous about this loan.

They said the same thing about some college loans for fed employees, work for us for 10 years, pay minimums, we will forgive the loan.

So far something like 600 out of 100,000 were approved. They find little reasons to reject it, leave thousands holding a bag of debt they barely paid on.
 

MattB

WKR
Joined
Sep 29, 2012
Messages
5,743
This roll-out has been a mess. What little direction we have received would suggest that you work with the bank where you have your bank account if they are participating.
 

CoSwede

FNG
Joined
Oct 7, 2013
Messages
71
Location
Aurora, CO
I was waiting at my banker's door with my application on Friday morning. Got a call back that the app I had filled out on Friday night had already changed so I found the new app and filled that one out and brought it in. Then got a call that they wanted it scanned and sent in electronically. Banker said I was now 3rd in line as other's immediate needs were more pressing than mine. I was a little hot at that point but got it in before the bank closed that day. Got a call from the branch president on Sat that he was working on the applications and that he had everything he needed to process mine. Feeling much better about my chances now.
 
Joined
Nov 25, 2016
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Utah
Got a call from my bank this morning. "we have you check, come sign the docs"
So I went down there and asked the questions I had and signed the check, deposited it and will be using it for payroll for the next 60 days.
They said they have never seen anything like this. Many banks are already at the max cap for what they were given to give out. I guess I was fortunate to be in a small town with a small bank that got this done for me.
 
OP
S
Joined
Jan 16, 2018
Messages
1,034
Stick and String, should we also contact our accountant before we apply for these loans? I would like to pm you or call if possible. Thanks
Sorry haven't seen this pop up again for some reason. Pm me if you still have questions!
 
OP
S
Joined
Jan 16, 2018
Messages
1,034
Complete disaster is the only way to describe this rollout. SBA has been a nightmare to deal with and tons of applicants wanting money!

You can stack the EIDL with the PPP loan if you haven't done both you should apply. We are servicing customers first and then moving on to non bank customers, with the hope they will become bank customers :). Unfortunately I can only help this run my service area with actually pop loans.

PM me directly for questions and I'll help as I can. If your bank is not ready yet, it is most likely not their fault. The SBA has to setup accounts for banks that don't normally do SBA loan and the process is a complete Fing nightmare!!!

After speaking with the offices of Nebraska congressman Adrian Smith and Senator Deb Fisher they cannot comment on the availability of more funds at this time, but know that it is being discussed. So take that for whatever it's worth.
 

dogman11

FNG
Joined
Jan 25, 2019
Messages
82
I have 97 employees had my stuff to the bank last wed saw the change thursday had new forms first thing ready Friday morning bank called at 2 I went and signed the paperwork and deposited the monies. I almost felt like a democrat for a few seconds!!! Ive paid plenty in over the last 25 yrs time to get a fraction back for taking all the risk and keeping some great people employed!!
If you own a small business you need to be on top of it quickly!!!
 
Joined
Nov 25, 2016
Messages
3,721
Location
Utah
I have 97 employees had my stuff to the bank last wed saw the change thursday had new forms first thing ready Friday morning bank called at 2 I went and signed the paperwork and deposited the monies. I almost felt like a democrat for a few seconds!!! Ive paid plenty in over the last 25 yrs time to get a fraction back for taking all the risk and keeping some great people employed!!
If you own a small business you need to be on top of it quickly!!!

Same scenario here, Got a call from Accountant Friday, went to bank signed everything 2:56 pm that day, Got a call yesterday the bank wanted my P/L statements, so I gave them what they needed and got a call today- check is ready, so I transferred funds in account. I told the wife, this seems so odd. I felt confused, almost dirty, like it was unethical and wrong. But it isn't. I have just never had this happen in 35 years of self employment. This will cover my payroll for the next 60 days almost exactly. The guys were already asking what happens if we get shut down, I was planning on prepaying them enough to get by anyway. Now I wont be in the hole, and they wont have to pay anyone back if the business shuts down.
 

307

WKR
Joined
Jun 18, 2014
Messages
1,930
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Cheyenne
I'm approved, but not funded quite yet. I was sitting in the office, signing loan documents, and the SBA computer crashed. Slight delay... Banker said that it's approved so it's just a matter of them getting the system up and running again. I'm hoping she's right.
 
Joined
May 6, 2018
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Shenandoah Valley
Still a mess here. Paperwork was done on Friday, haven't heard anything. Bank required all kinds of info. I think they are vetting the applications a good bit and it's holding it up. Can't blame them, but sure sucks to not know what is going on.
 

CoSwede

FNG
Joined
Oct 7, 2013
Messages
71
Location
Aurora, CO
Got the call yesterday that my PPP loan was approved and when did I want to come in and sign the docs. Decided to go in next week the day before we do payroll just to be sure it's spent down in 8 weeks. Simply amazing!
 
Joined
Jun 18, 2019
Messages
1,735
congrats you guys.
Man, my bank (fifth third) didn’t have their system ready to roll until Monday morning. Got everything submitted and then one other document at 3:00 and haven’t heard squat yet.
 
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