Author Topic: SBA PPP and EIDL Small Business Loans (some money is forgivable)  (Read 73905 times)

Offline thebudgetdeals

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #1995 on: July 06, 2020, 02:43:22 PM »
Now we can start the whole tuition discussion all over again... I see many mosdos got some nice $$$.
Pleeeeeease open a separate thread

Offline jackofall

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #1996 on: July 06, 2020, 03:07:49 PM »
It is a limitation on the EIDL borrower from transferring any of the EIDL borrower's assets (this would include any assets owned by the EIDL borrower including cash, cash equivalents, short-term and long-term assets, etc.) to basically anyone, whether a current owner of or partner in the EIDL borrower, or any company owned by an owner or partner, or any other company.  This would include any EIDL loan proceeds as well.  This language is there to prevent the depletion of the EIDL borrower's assets by the company owners/partners or any company owned by them, or any other unaffiliated company.  Note:  as shown below for regular 7a loans, they are not referring to assets used in the ordinary course of business.

 

SBA has a similar prohibition on its SBA 7a loans – see below for example of the language on non-PPP SBA 7a loans:

C. Borrower and Operating Company certify that they will not, without Lender’s prior written consent:

[ ] 3. Transfer of Assets - Sell, lease, pledge, encumber (except by purchase money liens on property acquired after the date of the Note), or otherwise dispose of any of Borrower’s property or assets, except in the ordinary course of business.
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Offline thebudgetdeals

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #1997 on: July 06, 2020, 03:10:00 PM »

Correct, but you can't take out a distribution from your assets or a bonus that is not in ordinary, for the next 30 years. As well as no loans from your business etc

Offline jackofall

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #1998 on: July 06, 2020, 03:16:23 PM »
Correct, but you can't take out a distribution from your assets or a bonus that is not in ordinary, for the next 30 years. As well as no loans from your business etc
If you regularly take out, it is  a non issue. Basically no funny business. Seems  (somewhat) fair.
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Offline 123-Rosh

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #1999 on: July 06, 2020, 06:10:58 PM »
PPP data made public. (over 150K)
https://sba.app.box.com/s/tvb0v5i57oa8gc6b5dcm9cyw7y2ms6pp

Just for loans under $150k, so far $79M went to Lakewood...

For loans above $150k in Lakewood:
258 businesses got loans between 150,000 and 350,000
116 businesses got loans between 350,000 and 1 Million
39 businesses got loans between 1 Million and 2 Million
16 businesses got loans between   2 Million and 5 Million
1 business got between 5 Million and 10 Million
« Last Edit: July 06, 2020, 06:33:43 PM by 123-Rosh »

Offline Mikes@Micro

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2000 on: July 06, 2020, 06:12:06 PM »
Just for loans under $150k, so far $79M went to Lakewood...
Wow! Very interesting. What else did you find?
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Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2001 on: July 06, 2020, 06:23:14 PM »
Wow! Very interesting. What else did you find?

See attachment for 150k+ in NY & NJ.
Filtered by using typical terms such as Congregation, Torah, Yeshiva, etc.

Offline Mikes@Micro

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2002 on: July 06, 2020, 06:31:15 PM »
See attachment for 150k+ in NY & NJ.
Filtered by using typical terms such as Congregation, Torah, Yeshiva, etc.
Thanks. I wasnt intrested in unzipping that box link :)
Quote or engagement  equals full throated endorsement and vote!
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Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2003 on: July 06, 2020, 06:51:14 PM »
See attachment for 150k+ in NY & NJ.
Filtered by using typical terms such as Congregation, Torah, Yeshiva, etc.

Disregard the blue highlights. Just realized I didn't remove formatting.

Offline yossig

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2004 on: July 06, 2020, 07:15:47 PM »
Disregard the blue highlights. Just realized I didn't remove formatting.
Was trying to figure out what you have with SATMAR ;)

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2005 on: July 06, 2020, 07:18:16 PM »
Was trying to figure out what you have with SATMAR ;)

Lol. A lot happens to be, but I created that for someone with a particular interest.


Offline shiframeir

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2007 on: July 07, 2020, 11:21:26 AM »
because of the 24 week extension, its now possible for large companies with lots of payroll etc to get all their money back even if they had layoffs/salary reductions, right? they could have like $15M in total costs now and even with reductions get back their full loan. am i missing something (do the reductions come off of the actual loan, not the total costs they have)?

Online shulemw

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2008 on: July 07, 2020, 11:31:14 AM »
if i took advantage of the tax retention credit on my business can i still apply for a EIDl loan?

Whoever answers thanks in advance but please if you have a source to it would appreciate it

thanks

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2009 on: July 07, 2020, 11:31:40 AM »
because of the 24 week extension, its now possible for large companies with lots of payroll etc to get all their money back even if they had layoffs/salary reductions, right? they could have like $15M in total costs now and even with reductions get back their full loan. am i missing something (do the reductions come off of the actual loan, not the total costs they have)?

Now that I have it all figured out in excel and I can track where the deductions do and don't affect forgiveness, here's my take:
In the above example the $1,200 deduction, even if it accounts for the full 24 weeks of deductions doesn't matter much because the owner was only funded ~10k for that employee, and over 24 weeks he's spending ~$16,800 even with the reduction in wages, so reducing forgiveness by $,1200 doesn't matter. The real issue is when you get to FTE reductions. If you follow the app, you'll see that you first total up everything, and then apply the FTE multiple. This means that the entire forgiveness hinges on the FTE multiple, and if reduced to (based on my quick calculations) .6 or less, you'll start seeing cuts to forgiveness.