SBIA LOAN PROGRAM

March 31, 2020 | Assistance for Small Businesses

 

Below we've include a link to download a good summary of the new SBIA loan program that was part of the congressional relief bill. It appears that it does have some very advantageous provisions:

*No personal guarantee requirement

*Potentially full loan forgiveness if you keep paying staff through the crisis

The office's biggest concern is that there will be a crush of applicants for these loans. We would advise you to be on the phone with your bank where you have your accounts as soon as possible. Your first question should be is if your bank is qualified to facilitate these SBIA loans. You also need to ask if you qualify for the SBIA loan if you already have a line of credit that has funds available.

The office requests that if you move forward with this program that you offer feedback to us whether positive or negative so that we can keep everyone in the loop. Obviously this would be strictly confidential. 

We want you to know that you are not alone in navigating thru this crisis

SBIA CARES Act Payroll Loans

Given that funds are limited and expected to go fast, we can’t guaranty that all businesses that apply will receive funding. However, in an effort to expedite the application process (when full guidance becomes available) and processing, we recommend you start preparing the following to the extent that this is something you’re interested in applying for:

     

  • SBA Form 1919 (see attached) or corresponding SBA Form 912, if applicable
     

  • Articles of Incorporation/Organization of each borrowing entity
     

  • By Laws/Operating Agreement of each borrowing entity
     

  • All owners Driver’s Licenses
     

  • Payroll Expense verification documents to include:

    • IRS Form 941 and 944
       

    • Payroll Summary Report with corresponding bank statement
       

    •  If a Payroll Summary Report is not available, Employee Pay Stubs as of February 15, 2020 (or corresponding period) with corresponding bank statement, and,
       

    • Breakdown of payroll benefits (vacation, allowance for dismissal, group healthcare benefits, retirement benefits, etc.

 

1099s (if Independent Contractor)
 

  • Certification that all employees live within the United States. If any do not, provide a detailed list with corresponding salaries of all employees outside the United States.
     

  • Trailing twelve-month profit and loss statement (as of the date of application) for all applicants.
     

  • Most recent Mortgage Statement or Rent Statement (Lease)
     

  • Most recent Utility Bills (Electric, Gas, Telephone, Internet, Water, etc.)

SBIA Alert | Treasury released documents, with guidance to follow

With $349 Billion in Emergency Small Business Capital Cleared, Treasury and SBA Begin Unprecedented Public-Private Mobilization Effort to Distribute Funds

 

SBA Administrator Jovita Carranza and Treasury Secretary Steven T. Mnuchin today announced that the SBA and Treasury Department have initiated a robust mobilization effort of banks and other lending institutions to provide small businesses with the capital they need. The Paycheck Protection Program prioritizes millions of Americans employed by small businesses by authorizing up to $349 billion toward job retention and certain other expenses.

CLICK TO DOWNLOAD FORMS FOR THE FOLLOWING DOCUMENTS:
 

  • Top-line overview of the program
     

  • If you’re a lender, more information
     

  • If you’re a borrower, more information
     

  • The application for borrowers


Please click the button below to download the Max Loan Calculator. This tool was put together by a bank to help borrowers determine the maximum loan you can get under the Paycheck Protection Program for the CARES act.

ALERT: Fraud involving payment of Federal taxes

If you receive calls, emails, or other communications claiming to be from the Treasury Department and offering COVID-19 related grants or stimulus payments in exchange for personal financial information, or an advance fee, or charge of any kind, including the purchase of gift cards, please do not respond.  These are scams.  Please contact the FBI at www.ic3.gov so that the scammers can be tracked and stopped.


Fraud involving payment of Federal taxes should be reported to the Treasury.

Our office will continue to provide you with any pertinent information. 


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1170 Kane Concourse Suite #420, Bay Harbor Islands, FL 33154