SOURCE: SBA.gov
The Paycheck Protection Program (PPP) is a loan designed to provide a direct incentive for small businesses to keep their workers on payroll. Borrowers may be eligible for PPP loan forgiveness.
SBA is currently offering PPP loans originated only by participating community financial institutions including Certified Development Companies (CDCs), SBA Microlenders, Community Development Financial Institutions (CDFIs), and Minority Depository Institutions (MDIs) until May 31, 2021 or until remaining funds are exhausted. Please note that not all community financial institutions are participating in PPP.
1. Find an eligible lender that is participating in PPP:
2. Identify a loan:
- First Draw PPP loans: If you have not received a PPP loan before, First Draw PPP loans are available to you.
- Second Draw PPP loans: If you have previously received a PPP loan, certain businesses are eligible for a Second Draw PPP loan.
SBA also offers additional COVID-19 relief.
“After more than a year of operation and serving more than eight million small businesses, funding for the bi-partisan Paycheck Protection Program has been exhausted. The SBA will continue funding outstanding approved PPP applications, but new qualifying applications will only be funded through Community Financial Institutions, financial lenders who serve underserved communities. The SBA is committed to delivering economic aid through the many COVID relief programs it is currently administering and beyond.“
message from Cap Access AA Patrick Kelley
For NJ, the only CFI that is participating in PPP2 is RBAC @ https://rbacloan.com/
What is a CFI?
https://content.govdelivery.com/accounts/USSBA/bulletins/2b4f7b2
Per the Economic Aid Act, a community financial Institution is one of four types of lenders:
1. Community Financial Development Institution
2. Minority Depository Institution
3. Community Development Corporation
4. Microlender Intermediary
For more information visit SBA.gov
