Five Ways To Simplify Applying For The Paycheck Protection Program
UPDATE, Sunday, April 26: Late last week, Congress passed $484 billion to support small businesses and hospitals, and for COVID-19 testing. Of this, $310 billion is for the Paycheck Protection Program (PPP) and $60 billion was allocated for emergency disaster loans and grants. Federal SBA loan applications reopen Monday, April 27 at 10:30a — apply here.
In anticipation of Congress’s plans to replenish the Paycheck Protection Program, it’s a good time for small businesses to get prepared.
The documents required for the application may vary depending upon the bank, but here is a compilation of what you could need:
—Basic info about your business and contact info, including color copies of IDs
—A copy of 2019 payroll documentation for most recent financial quarters (IRS Form 940, IRS Form 941 or GA DOL-4N)
—Corporate by-laws, operating agreements and/or other ownership documentation
—Proof your business paid wages for the period that included 2/15/2020 (pay stub, payroll statement or other verification for at least one employee)
—A breakdown of the intended use of funds (payroll, rent/mortgage interest, utilities, other)
While banks may also use their own website for the application, the Small Business Administration’s website has provided the form online so you can see the questions you will need to answer. In addition, the financial advisors at SmartAsset have compiled a pretty comprehensive review of lenders and their application requirements with links to specific pages. Be sure to search for your bank and see what other requirements they’re requesting.
And, while the economic impacts of COVID-19 continue to unfold, the Downtown Alliance is committed to helping Lower Manhattan’s small businesses. To that end, we have compiled a list of grant, loan and assistance programs that have been created to help our neighbors. This list is a living one: As programs evolve or launch, we will continue to update this resource.