Posted on May 6th, 2020
Find below a full transcript of this video.
What’s up fellow entrepreneurs. It’s John Fagerholm again. Today I want to talk about the paycheck protection program or more commonly referred to as the PPP.
But first, as always, this is a general information channel, so please for your specific situation, seek legal advice from a professional of your choice.
This epidemic has been especially hard on small business owners and unfortunately as usual, the small business owner has the greatest burdens and the least amount of help in this crisis … or at least in my opinion.
However, one bright spot is the PPP loan and I encourage everyone eligible to apply. If you’re a business owner with employees, you should have applied for the PPP loan already.
But if you haven’t, don’t delay. The PPP loan is a potentially forgivable loan of two and a half times your average payroll for the last 12 months at 1% interest with a limit of $10 million.
The initial round of funding ran out of funds, but thankfully the government passed legislation to replenish the program.
However, it’s expected to run dry again with a number of applications in the pipe and waiting is going to reduce your chances of taking advantage of one the few programs that a small business can take advantage of in this pandemic.
Applying for loans can be a daunting task, but I can tell you from personal experience that the application for the PP loans are relatively easy to apply for and receive as long as you meet the qualifications.
I can’t tell you the best way, but I can tell you what I did and maybe it works for you also. First I went on to the SBA website and I looked at what was needed to qualify and registered online with them.
The basic qualifications are a business with 500 or fewer employees, based in the United States and have employees. So next I applied online with a bank that we use for our business checking.
There were several fairly simple questions I answered and I uploaded our average payroll for the past 12 months from our payroll processing company.
Then I verified the accuracy, hit the finish button, and less than a week later, my loan was in our business checking account. I mean that that’s how simple it was for us.
I can’t get guarantee it will be as painless for you as it was for us. But considering the extreme pressures and sacrifices that small businesses are expected to endure during this crisis, I think every business owner should be taking advantage of the few programs that help those that employ the masses.
So till him next time, be productive and I’ll see you on the other side.
