You can now apply for the Paycheck Protection Program (PPP) Loan to help your business cover payroll, benefits, rent, utilities and more. We have partnered with SBA 7(a) lenders to provide you with relief funds as we navigate this uncertain times. Rest assured we are here to help you Charge Your Business Forward™.
We will connect you with SBA 7(a) approved lenders.
The SBA requires certain documentation that prove your eligibility.
Once approved the funds will be deposited to your bank.
Learn more about the $350 billion SBA relief program, the new $310 billion and what to do next from the FAQs below. For information about the PPP, the CARES Act and other relief options, visit our Idea Helps page, call us at (855) 900-7838 or email us at email@example.com.
The PPP is a relief program managed by the SBA and created by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The program aims to help small businesses affected by the COVID-19 crisis with relief funds by way of federally guaranteed loans. The SBA delegated authority to private lenders so that there is no separate SBA approval, which should result in faster application processing and approvals.
These loans were created to help small businesses retain employees and cover operational costs. It is important to apply soon as there is high demand and relief funds are limited.
The CARES Act deems eligible any SBA qualified small business, tribal business, nonprofit organization or veteran organizations that employ 500 or fewer people. Other qualifications include being current on other SBA loans (if any), the business or owner is not suspended or deemed ineligible by any Federal department, the owner is subject to an indictment, and the owner has not had a felony in the past 5 years.
You can apply now, applications started on April 3, 2020 for LLCs, S Corporations and Sole Proprietors. Independent Contractors and Self-Employed individuals started applying on April 10, 2020. You may apply here. Applications re open until June 30, 2020. $367 billion were available in the first wave of funding.
The total amount of funds available will be exhausted before the deadline, so applying early increases your chances of getting a PPP loan.
As of April 23, 2020, the government passed a new resolution releasing another $310 billion.
If you were denied funding due to a lack of funds from the PPP or you were not able to hand in the documentation in time, you may apply again here.
We are working with trusted partners that will connect you with SBA 7(a) approved lenders. Many never stopped receiving applications and are processing them right now. You will be helped by professionals that know the application process, requirements and have already funded billions of dollars to small businesses.
You can apply for a PPP loan here.
Idea Financial is not an authorized lender for the U.S. Small Business Administration’s (SBA) Paycheck Protection Program at this time. Idea Financial will connect you with SBA approved lenders. Your loan agreement will identify your lender prior to your signature. Any loan made under SBA’s Paycheck Protection Program must also be submitted to and approved by the SBA.
The amount you will receive will be approximately 2.5 times your average total monthly payroll costs (up to $10 million), plus:
Loans proceeds are forgiven if used during the 8 week period after the the date the loan was made and for the following purposes:
Yes, however, your loan forgiveness is calculated so that 75% of your expenses most go to payroll-costs and the remaining 25% for nor non-payroll cost expenses.
Subsequently the SBA and approved lenders will provide more guidelines for the category of each expense.
In your loan application you will need to provide:
Submit a request to your lender that is servicing the loan. The request should include documents for forgivable expenses that verify:
With respect to approving such expenses, your lender may ask for additional information such as:
Your SBA lender must make a decision within 60 days of the your loan forgiveness request.
Right away. All payments for a PPP loan are deferred for 6 months; however interest will continue to accrue over this period.
Yes, there are no pre-payment penalties.
No, lenders may not require collateral or a personal guarantee.
The time table for you to receive you funds depends on your specific business and how fast your lender can process the documentation submitted. The application process may take several days. Once approved, your lender should give you a date for when you will receive your funds.
The standards that the legislation put forth are designed for fast approval, but keep in mind the high demand and that funds are limited.
We suggest you contact your loan officer if you have not received an email or some sort of communication after your initial application.
The PPP enables organizations to obtain up to $10 million in loans that are 100% forgivable if they meet the criteria outlined above.
The Economic Injury Disaster Loan Program (EIDL) is a disaster relief loan which includes a grant up to $10,000 that businesses do not need to pay back. The EIDL loan caps out at $2 million and it is not forgivable, but may cover other expenses that the PPP does not include.
Aside from the basic specifications of each, these programs have different application processes, terms, interest rates, and eligibility requirements. For more info on EIDL, click here.
We recommend that businesses apply for both an EIDL and a PPP loan.
An Economic Injury Disaster Loan or EIDL is the long-standing SBA loan program that helps businesses that have been affected by some sort of natural or economic disaster. Known for having strict requirements, such as having the county the business is in declared an affected area, many requirements have been loosened thanks to the CARES Act.
In general, EIDLs have:
In addition to the benefits above, due to the COVID-19 crisis, an EIDL-COVID-19 relief loan includes a short-term forgivable advance of up to $10,000.
Small businesses that can demonstrate that they suffered severe economic hardship because of natural or economic disaster. As all states have declared a state of emergency during the COVID-19 crisis, small businesses anywhere that match the criteria below can apply for EIDLs.