Need A Loan Now That The Paycheck Protection Program Is Running Again? Try These Nonbank Lenders

by SMAC

Need A Loan Now That The Paycheck Protection Program Is Running Again? Try These Nonbank Lenders: https://www.forbes.com/sites/advisor/2020/04/27/need-a-loan-now-that-the-paycheck-protection-program-is-running-again-try-these-nonbank-lenders/#41372a1738eb

Jamie Horter posted some very helpful advice on nonprofits applying for Paycheck Protection Program funds in the Facebook group for Off the Clock: Rural Arts & Cultural Works Group:

“Hi Friends,

I hope you’ve been able to get some financial relief this year through PPP. If you’ve wanted to apply for PPP (Paycheck Protection Program) funds, there’s still time. I’m thinking of this now because it’s tax day and if you haven’t had your tax form complete until now, having it complete makes it much easier to apply. The application period is open until Aug. 8, though if you want to apply it’s best to do so ASAP in case funding is not available through that time.

PPP is a forgivable loan through the Small Business Administration set up to help small businesses suffering from the impacts of COVID. As a sole proprietor, you can apply for 2.5 months of your net income (I wrote about how to calculate that below). Non-profits can also apply for PPP. You can read more about the program here: https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program.

I recommend using BlueVine to apply. I tried accessing a number of other options (including reaching out to my bank) before having success with Blue Vine. Using Blue Vine was a very fast and simple process (I was approved within about an hour or so of applying). https://www.bluevine.com/paycheck-protection-program/ (List of other options here: https://www.forbes.com/sites/advisor/2020/04/27/need-a-loan-now-that-the-paycheck-protection-program-is-running-again-try-these-nonbank-lenders/#731c03bf38eb)

Basically (for Blue Vine) you just need your 2019 tax form – Schedule C, your bank routing and account number so that the funding can be directly deposited, some record of payment you received for work done prior to COVID (Jan and Feb pay stubs or bank statements), and a calculator. I think that’s it. The request form only takes a few minutes to fill out.

To calculate how much you can apply for, take your net profit line (I believe it’s line 31 on Schedule C). Divide that by 12 to get your average monthly income. Now multiply that by 2.5 because PPP allowance is for two and a half months income. That number (one month income X 2.5) is how much you can qualify for from PPP.

So long as you’ve had some net positive income last year, it’s worth it to apply. Every bit helps.”

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