April 9, 2020
Payroll Protection Program and the Covid-19 Economic Injury Disaster Loan Application
There are two programs that the federal government is offering to assist small business who have been impacted by the COVID-19 crisis. The Payroll Protection Program(PPP) is administered by authorized Small Business Administration lenders( see link below) who will gather the information from the borrower and submit the completed applications to SBA for approval and the other program is direct application with SBA COVID-19 Economic Injury Disaster Loan Fund(EIDLF).
Economic Disaster relief (EDILF) is only administered by the Small Business Administration(SBA). This program is to provide immediate funds to small business that are suffering losses as result of the COVID-19. Unfortunately, SBA was not set up to handle the volume of applications that has resulted from the COVID-19 national disaster. Simply, it will take months for many of the loans to be processed and funded.
So while both programs have caused a tremendous demand, the PPP appears to have faster processing times because it relies on private sector approved lenders. The US Treasury is approving other banks so that the capacity to participate in the program can be increased.
My firm is willing to assist you in gathering the documents necessary to complete the loan application process.
Please refer to EIDLF page on my website for the requirements for that application
Please refer to PPP page on my website for the requirements for that application