Small business owners

[Mexico]

PPP remains a bit of a moving target and there have been changes this week as already indicated on this thread. Tomorrow is the first day to officially start making loans here is some information that I have received from my source.

1. Early proposal
2. New Guidance as of weds 3/31

1. Annual Percentage Rate 4.0%
2. Annual Percentage Rate 0.5%

1. Term: 10 Years
2. Term: 2 Years

1. Deferral Period 6-12 months
2. Deferral Period: 6 months

1. Forgiveness: Proceeds used on mortgage, rent, utilities & payroll are forgivable.
2. Forgiveness: You will owe money when your loan is due if you use the loan amount for anything other than payroll costs, mortgage interest, rent, and utilities payments over the 8 weeks after getting the loan. Due to likely high subscription, it is anticipated that not more than 25% of the forgiven amount may be for non-payroll costs. You will also owe money if you do not maintain your staff and payroll.

- Starting April 3, 2020, small businesses and sole proprietorships can apply for and receive loans to cover their payroll and other certain expenses through existing SBA lenders.
- Starting April 10, 2020, independent contractors and self-employed individuals can apply for and receive loans to cover their payroll and other certain expenses through existing SBA lenders

As part of my air-conditioning plumbing and electrical service contracting consulting business, I’m kind of on the front line with a large SBA lender in regards to the PPP . Regardless of your business if you have any specific questions feel free to PM me .

Good information, appreciate you keeping us up to date. Basically what you have said is exactly what may accountant has told me. Seems we are on the same page. I filed all my paperwork Monday night. I'll give an update when I hear something in return...

[outlook8]

What's criminal about it?

I'll agree that the money is intended for those in a bad spot and is to prevent employers from going out of business causing more unemployment. If you don't need it, you shouldn't apply for it. But from what I know of the "grant" is any business 500 employees or less can apply.

The application specifically says 'Current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.' It also follows that up with 'I understand that if the funds are used for unauthorized purposes, the federal government may pursue criminal fraud charges.'.

So, I think one could argue it is criminal to request, receive and use funds if your business is doing 'fine'.

[outlook8]

I am getting conflicting information on this grant. My CPA sent me info on the Disaster loan from the SBA website that states that the 10K will not have to be paid back. However, my banker is telling me that it will.

I was also told by my banker that you could only apply for one or the other. However, I am hearing different info from my CPA.

The 10k EIDL grant will be deducted from the PPP amount if you apply for both.

[bps3040]

I don't have to tell any business owner or senior manager of a company what it is like to have to do a layoff, but for those who haven't experienced what it's like on the employer side, let me tell you, it is the most gut wrenching horrible experience an employer can go through short of just locking up and shutting down. I've been through a bunch of these turn-downs. My first one was the big one in '81-'82... I was a senior manager for my company. It hit me so hard physically, I have been on blood pressure medication pretty much since that time... I almost stroked out. I got thru all the others without having to making personnel cuts until the 2014-15 turn-down... difference this time was I was the business owner... It was even worse!!! It's one thing to have to fire someone for not doing their job, I don't like it, but it doesn't bother me mentally other than trying to keep from getting upset a the employee for blowing their chance at a good job... Having to tell a loyal employee that is like family to you that you can't use 'em anymore and that their insurance and pay are dropping to zero... well, that's the hardest and worse thing I've ever had to do! I don't want to have to ever do it again and God willing we will get through this one without having to do it again!!

Yes, it sucks. We are still cleaning pools, but construction is dead. We will apply for the aid and go from there.

[PoohDaddy]

PPP remains a bit of a moving target and there have been changes this week as already indicated on this thread. Tomorrow is the first day to officially start making loans here is some information that I have received from my source.

1. Early proposal
2. New Guidance as of weds 3/31

1. Annual Percentage Rate 4.0%
2. Annual Percentage Rate 0.5%

1. Term: 10 Years
2. Term: 2 Years

1. Deferral Period 6-12 months
2. Deferral Period: 6 months

1. Forgiveness: Proceeds used on mortgage, rent, utilities & payroll are forgivable.
2. Forgiveness: You will owe money when your loan is due if you use the loan amount for anything other than payroll costs, mortgage interest, rent, and utilities payments over the 8 weeks after getting the loan. Due to likely high subscription, it is anticipated that not more than 25% of the forgiven amount may be for non-payroll costs. You will also owe money if you do not maintain your staff and payroll.

- Starting April 3, 2020, small businesses and sole proprietorships can apply for and receive loans to cover their payroll and other certain expenses through existing SBA lenders.
- Starting April 10, 2020, independent contractors and self-employed individuals can apply for and receive loans to cover their payroll and other certain expenses through existing SBA lenders

As part of my air-conditioning plumbing and electrical service contracting consulting business, I’m kind of on the front line with a large SBA lender in regards to the PPP . Regardless of your business if you have any specific questions feel free to PM me .

PM sent! thanks for answering questions!

[Traildust]

1. Forgiveness: Proceeds used on mortgage, rent, utilities & payroll are forgivable.
2. Forgiveness: You will owe money when your loan is due if you use the loan amount for anything other than payroll costs, mortgage interest, rent, and utilities payments over the 8 weeks after getting the loan.

Thats a super sweet deal there!

[CastAndBlast]

The 10k EIDL grant will be deducted from the PPP amount if you apply for both.

Got it! Just clarified that with my business partner. Thank you!

[Artos]

Have my LLC but no employees or mortgage...so with this, I could pay for electrical & water only??

[Charles]

Have my LLC but no employees or mortgage...so with this, I could pay for electrical & water only??

Does your LLC send you a W-2? If yes, you should qualify at least think you would.

Even though I'm self employed, I'm also considered an employee.

[crumrw]

I'm a self employed designer/fabricator. I've already had tens of thousands of dollars worth of projects cancelled or put on hold. The real sh*tty part is I signed a new lease on a larger shop space a month ago...move-in day was yesterday. Now, not only is the money not coming in, I'm also hemorrhaging money on the the back end. Doing my best to spend some quality time with my girls to keep the gray hairs at bay.

[Leemo]

Self employed Commercial Fishermen, I got my paperwork today, will file next Tuesday

[DRT]

I only have one PT employee and it's pretty seasonal work. But this is the season and we are working so . . .

Gary

[Artos]

Does your LLC send you a W-2? If yes, you should qualify at least think you would.

Even though I'm self employed, I'm also considered an employee.

Negative, I don't pull a regular salary & generally leave whatever consignment funds in that account for any capital needed for future resale inventory.

I also do not qualify for unemployment...I received my letter of recommendation from my previous employer & was just getting ready to dust off the ole resume when this came raining down.

[miket]

Trying to not get an attitude with my cpa. She wants $200 to compile the payroll info for only 2 employees. And wont be able to do it till next Wednesday....

Everything looks simple enough but she is making it sound complicated

[bbqfan5909]

Not sure I would mess around and get it done properly.

Trying to not get an attitude with my cpa. She wants $200 to compile the payroll info for only 2 employees. And wont be able to do it till next Wednesday....

Everything looks simple enough but she is making it sound complicated