Last updated April 21, 2020
We outlined in a prior post that under the CARES Act, small businesses are eligible to receive up to a $10 million dollar (or 2.5x their average monthly payroll) forgivable loan via the Small Business Administration’s (SBA) Payroll Protection Program (PPP). Allowable uses of the PPP loan funds include:
Unfortunately, as of April 16, 2020, all $349 billion in PPP funds has already been allocated to existing PPP loan applicants. However, Congress is currently discussing allocating an additional $250 billion in funding for the PPP program.
What to do if you have not yet applied for a PPP loan:
In anticipation of Congress approving the additional PPP funding, the SBA is continuing to accept PPP loan applications. However, they cannot guarantee that applicants will receive funds even if additional funds are allocated to the program. Thus, we urge anyone who missed out on the first round of funding to prepare and submit their PPP loan application now in an effort to secure a piece of the additional funding, if/when Congress allocates additional funds.
When to Apply:
If you have not already done so, we recommend that you apply as soon as possible. As was the case with the first round, the second round of funding will be limited and provided on a first-come, first served basis.
Note the initial $349 billion in funding was fully allocated in just 13 days, and some applicants are already in line for the second round, should it be approved.
Where to Apply:
You can apply at any SBA certified lender, a partial list of which are provided here. If you have an existing relationship with one of the lenders, then we recommend starting there. That being said, we have heard that some applicants have had better luck with getting a PPP loan through some smaller banks and credit unions, as well as with some online financial tech lenders like PayPal. Regardless of which lender you decide to go with, we recommend that you begin the process now. If your lender indicates that the SBA has closed the application process, please direct them to the SBA’s website.
How to Apply:
Each applicant will be required to complete the SBA’s PPP Application Form. In addition, you will need some or all of the following items in order to complete the application process:
Note, your lender might require additional documents, so please be sure to confirm with them regarding what documents they require to be submitted.
abeo Management Corporation (abeo) serves as a leading source of revenue cycle management and practice management with a specialization in anesthesia. The company leverages its people, processes, and software to serve independent practices, surgery centers, hospitals and healthcare systems with a scope of services that include billing, coding, transcription, practice management, and business consulting.