Last Friday, Congress approved a bill for small businesses for a forgivable loan up to 2.5 months of payroll, rent, healthcare and utilities. For me, it seemed a little too good to be true!
Here is what I have learned since then.
Yes, it's real and it's going to be a fast and easy process they promise. But it's not clear how.
Applying for the SBA Paycheck loan can be a confusing process.
I started to google information "paycheck loan application" "how to apply for paycheck loan" and I was even sent an application and requirements link by Faire. I also was sent paper applications in my email by other service providers of which I printed and filled out. Very little information is asked and there is no clear place to send it.
How is this paper application with no place to send it going to get me the life-saving cash my business needs?
I scrapped the paper application and went back to google searching “Paycheck Application Process” and then found and article from Inc Magazine said that it could be weeks before this process is clear. SO. FRUSTRATING. SERIOUSLY?
I instead decided to go about finding out how to access this in a different way.
I read that the government is going to be giving the funds to SBA Accredited lenders, so who are those lenders?
1. I called my bank.
Let me try my bank first, they know me. Turns out US Bank is one and SBA accredited lenders. That was too simple.
I was so busy looking for an easy online application, but turns out this is an old school lending process you can do directly through your regular banking relationship!
You can also find other lenders here.
2. I signed up for a notification to email me when application is available.
I was told by Claudio, the bank teller on the other line, that it’s an easy online application through US Bank. US Bank will review and process the application for me. The application isn't available yet, but they have a web page and place to sign up to get notifications for when they are available.
I want to be one of the first to apply, so each day I’m staying on top of my emails as I know this funding isn’t bottomless.
3. I have paperwork I need on hand.
One of the articles I read speculated what will need to apply - your current lease, business registration, resume, historical P&L, payroll records from Jan / Feb and utilities and health insurance invoices. I’ve got them all saved in a folder just in case they ask for them to be attached to the application.
Next, the waiting game to see when it’s made available, from what I'm reading I'm told and reading so far it's April 3rd.
By knowing who is an SBA approved lender, I can apply as quickly as possible increasing my chances of easily applying and (fingers crossed!) being approved quickly. God knows, each of us could use it doing this time.
Cheers to brighter days ahead –