The SBA's Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program ran out of funds just 2 weeks after they were rolled out. The PPP and the EIDL are the two primary programs designed to help businesses suffering hardships due to coronavirus. Congress is expected to allocate additional funds for these two programs with an emphasis on the PPP which is designed to help the greatest number of small businesses. [More on the latest funding legislation.]
If you have not already received PPP funding and need to apply, here are a few important things to consider in this process.
Get Ready.
- PPP loans are issued through you bank. This second round of funding will have at least $30 billion allocated to Community Banks (including Credit Unions), so that's a great place to start.
- Get in line quickly. The funding for this program is limited and we encourage businesses to their applications in as soon as possible. There are already many thousands of applications in the queue and there are no guarantees new applications will be funded.
- Many lenders are capped and have allocated the maximum amount allowed. If you need help finding a lender, contact us. Senator Jeff Merkley has a webpage dedicated to Small Business Corona Virus Relief -- including an often updated list of Lenders Accepting Paycheck Protection Program Applications in Oregon.
- Be specific with your lender. This program has two primary steps when you apply: (a) your lender will review and process your application before sending it to the SBA, and (b) the SBA will review your application and allocate the funds. It is important to know where you are in this process. Ask your lender where you are in this process.
- You are only guaranteed to receive funds once you have a PPP number assigned by the SBA.
- Remember: there is a lot of information about the PPP and EIDL programs out there, and not all of it is accurate. To make sure you have the best information, talk with an SBDC advisor.
- There are very specific ways this funding can be used if you are expecting to receive the maximum allowable loan forgiveness. SBDC advisors are here to help make sure you know these rules and can maximize the benefits from these programs.
Contact Us.
To get in touch, please email sbdc@pcc.edu. We are here to be of service to you and your business. Additional information will be shared as it becomes available. For more information on PCC’s college-wide response, visit: pcc.edu/coronavirus
