03 Apr Business SBA Loans (PPP & EDIL) and FL Unemployment – What to do
So, right now, those that own small businesses, and those that are self-employed, have these questions: What loan do I apply for, and what stimulus is best for me. Or, should I collect unemployment? What options do I choose, and how do they work together, or not work together?
If you take some time to read this FULL article, and review ALL of these the links, I am confident that you will have a much clearer understanding of what to do!
This is just ahead of the PPP loan applications being available from your small business bank (likely tomorrow, Friday 4/3/2020 for most). As stated prior, everyone has a HUGE set of questions. Yet, the answers seem to change every hour in the past few days, even from the most reputable sources.
First, a brief understanding of what is going on, and why it is so frustrating not being able to have all of OUR questions answered right now:
Well, the CARES Act gave guidance (a sort of vision) of what the creators wanted. It was signed on Friday. Then, like with all bills, it is then left up to the government bureaucrats and other affiliated organizations to interpret the bill, and administrate this information to the people. In the case of the following information, it is the SBA, the IRS, the various individual state unemployment offices, and the banks.
This bill was signed just last Friday. Usually www.maxloan.org/installment-loans-pa/, this interpretation and implementation can take a couple of months, sometimes more. In this case, they have only about a week or two, because the ‘vision‘ of the CARES Act is to get as much of the stimulus funds discussed in the CARES Act into the hands of Americans – as quickly as possible. This has led to a storm of speculation and unknowns – in a time when American individuals and small business owners need funds the most! There has been a lot of reliable information out there, and not so reliable information. It has been an unprecedented week of analyzing and understanding.
For example, when a bill is signed, we usually go to a full week tax seminar to understand the tax implications of it for our clients. This is after the IRS has had months to interpret it themselves. Even then, there are still questions and holes – still a lot of “what ifs.” – then tax season hits. In THIS case, nobody has that much time.
So, here is what we know now, hopefully, this information finds you well. Just know that this information is current as of today (4/2/2020), and since we have only had days since the CARES Act was signed, I am CERTAIN that much more clarity will come of these topics in the coming week or two.
Business SBA Loans (PPP & EDIL) and FL Unemployment – What to do
Hold on tight, and be ready to apply for any stimulus (loans and/or unemployment) that may be available, and may fit you the best – if you have not already started to.
I know this is a lot to read, but (again) please read it entirely if you are a business owner interested in the SBA loans and grants.
I sent out a previous correspondence on loans, but here is the latest. I have also just learned as of 30 minutes ago, that some banks won’t be ready for the PPP loan on Friday (tomorrow) as they are still “interpreting the SBA’s guidance,” (Chase Bank is one for example).