My world: Everyone at the software companies are working remotely. The chocolate factory shut down yesterday due to not be considered an essential business. The chocolate elve had already left due to health concerns. I handle all the commercial rentals myself so no impact:
I don't intend to lay-off anybody...if this stretches into June or July...then we may look at cutting salaries by 25 to 50%. With the $1,200 everyone is getting already from the gov, and the 4 month unemployment (+$600/week additional), if we have to do layoffs, then the Team will not be totally without funds.
Originally Posted by chiefforlife:
So, I applied for the EIDL today and there wasnt anywhere to ask for an amount?
There was a box to check if you are interested in the quick 10K but thats it.
Does anyone know if they use a formula to determine how much you qualify for or maybe they ask you later how much you want?
They do have formula they use once they receive the next round of data they will request. The 10K is seperate from those calculation.
No one has stated what "up to 10K" means. Some talk on the street is that you get $1K for every employee stated in your initial app. Hope that is wrong. [Reply]
Had a client today that state he received confirmation from SBA on loan approval, and the bank has final signature documents. I personally have not seen this, nor has my field guy, so I'm skeptical that this is the final step to funding (we're trying to get a copy of this doc to see what it says), but if this is true, this is VERY impressive work by the SBA. Again, skeptical that this isn't simply more underwriting documentation from his bank, but again, would be very impressed if what he says is true.... [Reply]
Originally Posted by mililo4cpa:
Had a client today that state he received confirmation from SBA on loan approval, and the bank has final signature documents. I personally have not seen this, nor has my field guy, so I'm skeptical that this is the final step to funding (we're trying to get a copy of this doc to see what it says), but if this is true, this is VERY impressive work by the SBA. Again, skeptical that this isn't simply more underwriting documentation from his bank, but again, would be very impressed if what he says is true....
Wow, that would be impressive. Was that for the PPP or the EIDL? [Reply]
It's the back-half of SBA stuff that makes it onerous. As a general rule, the SBA lets banks do their own thing on these loans and if everything gets paid off, none of it really matters.
But the reason it's often slow-going is that the banks are REALLY paranoid. If they give out an SBA backed loan and the loan defaults, if they haven't taken every needed step, the SBA won't reimburse the banks. So suddenly that 75/85% backing vanishes and the banks just out the money.
Now to put it in present context - getting the money from the SBA still isn't likely to be the problem. Even before the PPP was approved, banks were being told by the treasury department to do what they have to do short term to keep clients lights on. They were opening the taps already even before the forgiveness models were being thrown around. But what may ultimately be the problem is getting it forgiven. And there's just so many things we still aren't sure of.
Originally Posted by IA_Chiefs_fan:
My bank told me that they anticipate being able to fund my loan tomorrow or Friday.
that's fantastic!
Update on my client: they are now being told the 13th, but still, that is a very good results....10 days from application to funding.....that's good work! [Reply]
Originally Posted by mililo4cpa:
that's fantastic!
Update on my client: they are now being told the 13th, but still, that is a very good results....10 days from application to funding.....that's good work!
UDATE: Client received his funds today! $800K+ check in hand! That is amazing! [Reply]
