The Interim Rule and FAQs clarify that independent contractors of a borrower do not count for purposes of the borrower’s PPP loan amount or forgiveness calculations. Check the SBA website to see updated information regarding disaster zones throughout the country. You will also be assigned a loan officer who will work with you through the duration of your loan. , estimating your losses and financial need, and compiling your business story and community impact. We too want to help you survive, thrive, and spend smarter. The SBA sets the guidelines that govern the 7(a) loan program. If you are interested in all other disaster loans, then CONTINUE. Question 16 of the FAQs clarifies that payroll costs are calculated on a gross basis; provided that payroll costs do not include the employer’s share of payroll costs (e.g., FICA). The good news is that your small business can receive a coronavirus emergency loan through an alternative lender that will often be easier and faster than the process for an SBA disaster loan. The SBA resumed accepting PPP applications from participating lenders on Monday, April 27, 2020 at 10:30 am EDT. The form of SBA borrower application is available (here) but each participating lender may provide its own form. Non-peak hours are 7:00pm to 7:00am EDT. ) Foley will continue to keep you apprised of relevant developments. Lenders may also require borrowers to complete additional paperwork. Online Portal Note: The SBA portal may experience high traffic volume and slow site responses. A 2-year term (decreased from the maximum maturity of 10 years under the Act). In response to the imminent threat of such catastrophes, the Small Business Administration (SBA) provides loans for those affected by related damage, evacuation, or business closures. The affiliation rules used for this purpose are different than the affiliation rules used for purposes of establishing whether a company is subject to the paid sick leave and expanded FMLA requirements under the Families First Coronavirus Response Act (FFCRA), which uses the integrated employer test under the FMLA. As mentioned above, your first step in the application process for an SBA disaster loan is to fill out an application at the Disaster Loan Assistance portal through the SBA. Photographs are for dramatization purposes only and may include models. (PPP) loans are provided by the SBA, but they offer different solutions to small businesses. The response to Question 14 of the FAQs provides additional clarification regarding how businesses should calculate their employee headcount for purposes of eligibility under the employee-based size standards applicable to the PPP. SBA disaster loans are for small businesses, non-profit organizations, homeowners, and renters who may be experiencing financial hardship due to an acute circumstance beyond their control—usually a catastrophe or disaster. Business adaptations (delivery, online/mobile options, etc. Repayment terms are usually crafted to meet the needs and ability of the business as well. Read on to find out which one is best for you. Payment of State or Local tax assessed on employee compensation. 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Additional Eligibility Criteria and Requirements for Certain Pledges of Loans for the Paycheck … If you have bad credit, or your small business credit score isn’t stellar, the SBA will still consider other factors, such as recent income and your history of rent, utilities, insurance, and other payments, to determine whether you qualify for an SBA disaster loan. Your loan will be based on financial needs, regardless of whether your company suffered any property damage. The new April 24, 2020 relief package adds agricultural enterprises with not more than 500 employees to this list of eligible businesses. State Governors can make Presidential or Agency requests that an area be considered to be affected by disaster. 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