Author Topic: SBA PPP and EIDL Small Business Loans (some money is forgivable)  (Read 264264 times)

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2020 on: July 07, 2020, 05:44:48 PM »
im getting msgs urging me to complete the loan application otherwise the application will be withdrawn. I already received the grant. do i ignore this email?

Yup. If you don't want the loan ignore it (or reject it to stop annoying emails).

Offline nucheiner

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2021 on: July 07, 2020, 09:43:06 PM »
I've emailed the SBA countless times about this because they said they'll publish guidance on how forgiveness will work "soon"- no response yet and when I call the reps tell me email is the only way...
Where did you get your loan from? The sources I'm seeing are indicating that for SELF EMPLOYMENT the basis for the calculation need to be off a 2019 or 2020 tax return.

Offline nucheiner

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2022 on: July 07, 2020, 09:44:59 PM »
I am a self employed new business and I got a ppp loan based on "jan & feb 2020" income. Will this loan be forgiven? I'm reading online that forgiveness goes by 2019, so how does it work for new businesses?
I've emailed the SBA countless times about this because they said they'll publish guidance on how forgiveness will work "soon"- no response yet and when I call the reps tell me email is the only way...
Where did you get your loan from? The sources I'm seeing are indicating that for SELF EMPLOYMENT the basis for the calculation need to be off a 2019 or 2018 tax return.

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2023 on: July 07, 2020, 10:37:38 PM »
Where did you get your loan from? The sources I'm seeing are indicating that for SELF EMPLOYMENT the basis for the calculation need to be off a 2019 or 2020 tax return.

I'm referring to forgiveness guidelines for a loan that was issued based on 2020 income. There were no guidelines released on this.

Offline TBD

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Offline yossig

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2025 on: July 08, 2020, 02:06:17 PM »
Any idea what the turnaround time is from accepting my EIDL loan amount to receiving closing docs?


Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2027 on: July 08, 2020, 02:31:38 PM »
Any idea what the turnaround time is from accepting my EIDL loan amount to receiving closing docs?

Shouldn't be more than a week.

Offline yossig

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2028 on: July 08, 2020, 03:08:20 PM »
Shouldn't be more than a week.
thanks.

Offline helpusout

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2029 on: July 08, 2020, 09:55:36 PM »
Boston Fed publishes initial listing of lenders accepting new business customers under the Main Street Lending Program
https://www.bostonfed.org/supervision-and-regulation/supervision/special-facilities/main-street-lending-program/information-for-borrowers.aspx?utm_source=email-alert&utm_medium=email&utm_campaign=mslp&utm_content=frbb-mslp-pr-lender-listings-200708#map

i would like to apply for this. i got denied for eidl based on category. am i better off waiting for more info to publish?

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2030 on: July 08, 2020, 10:24:17 PM »
i would like to apply for this. i got denied for eidl based on category. am i better off waiting for more info to publish?

I think the details are pretty much out.
Just bear in mind that the requirements are a bit more like PPP than EIDL.

-Businesses in certain financial sectors such as lenders, banks, and life insurance companies are ineligible
-Passive businesses owned by developers and landlords are ineligible

Online JACKBLUE

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2031 on: July 08, 2020, 10:28:03 PM »
Any idea what the turnaround time is from accepting my EIDL loan amount to receiving closing docs?
I had a few that took just 2 days, and have 2 that itís already 2 weeks and still didnít get. Some loans get assigned to loan officers for extra security, they reach out to you to confirm and then you get the docs.

Offline helpusout

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2032 on: July 08, 2020, 10:38:01 PM »
I think the details are pretty much out.
Just bear in mind that the requirements are a bit more like PPP than EIDL.

-Businesses in certain financial sectors such as lenders, banks, and life insurance companies are ineligible
-Passive businesses owned by developers and landlords are ineligible

so u suggest applying already?

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2033 on: July 08, 2020, 10:48:16 PM »
so u suggest applying already?

If you need the cash go for it- it's open and the rules are in place. The way I see it is that a) if anything about the program becomes more lax, it'll be extended to you as well and b) if anything becomes more stringent you'll be able to go with the rules as of when you applied (making this assumption based on how PPP turned out- might be different as this is handled by the Fed and loans are originated by a private bank vs PPP which was administered by the SBA).

I don't see this program closing prior to the 9/30/20 deadline- it's a loan program so the Fed can lend out 10 to 1 on this if not a whole lot more. On top of that there's been very little enthusiasm from both banks and the public on this (although that could change as states restrict reopening if no new programs are made available).

Just be prepared that the banks might not have figured out the full process yet so you might end up being the Guinea pig.

Offline TBD

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2034 on: July 08, 2020, 11:30:32 PM »
so u suggest applying already?
FYI this sounds to be mush more stringent than PPP or EIDL, Its a regular business loan application, financials, credit, underwriting, full docs etc, Its not just a grab N go like the other 2 programs where your enter some info based on some "DRAFT" schedule C, or some Gross sale figures that you dreamed of yesterday night.
It seems as well that every quarter you will have to provide to the bank, quarterly financials.
Do your homework before you start the process and let us all know how it works out :'(

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2035 on: July 08, 2020, 11:35:27 PM »
FYI this sounds to be mush more stringent than PPP or EIDL, Its a regular business loan application, financials, credit, underwriting, full docs etc, Its not just a grab N go like the other 2 programs where your enter some info based on some "DRAFT" schedule C, or some Gross sale figures that you dreamed of yesterday night.

+1 (although since they're only liable for 5% of the loan I can see them cutting corners for certain customers).

Offline TBD

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2036 on: July 08, 2020, 11:39:32 PM »
+1 (although since they're only liable for 5% of the loan I can see them cutting corners for certain customers).
But according to the guidelines they need to apply the same standards as regular loan underwriting, If they don't, than they can become liable for 100%.

Offline cgr

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2037 on: July 08, 2020, 11:45:21 PM »
But according to the guidelines they need to apply the same standards as regular loan underwriting, If they don't, than they can become liable for 100%.

Regular loan underwriting based on all their loans or regular loan underwriting based on a particular customers situation? I mean let's face it- if you have a good relationship with a banker and you're earning him a few $, they can really cut corners and push things through. I've seen it with loans where they're on the hook for a lot more than 5%...

Offline Deal Guy

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2038 on: July 09, 2020, 01:23:35 AM »
Ppp forgiveness is not taxable. What about the 1k eidl grant?
If eidl is taxable, is there a way to return an eidl grant received before ppp, since it affects ppp forgiveness on that 1k, and you would rather have that 1k come as ppp, so it isn't taxed.

Offline helpusout

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Re: SBA PPP and EIDL Small Business Loans (some money is forgivable)
« Reply #2039 on: July 09, 2020, 10:31:22 AM »
Regular loan underwriting based on all their loans or regular loan underwriting based on a particular customers situation? I mean let's face it- if you have a good relationship with a banker and you're earning him a few $, they can really cut corners and push things through. I've seen it with loans where they're on the hook for a lot more than 5%...

any recommendations of which lender to apply with?