Straight Talk About Small Business Loan Options During Pandemic

Erin Holohan Haskell

The Small Business Administration is offering loans to businesses during the COVID-19 pandemic. Businesses can apply for the Paycheck Protection Program beginning April 3 through local lenders and the Economic Injury Disaster Loans at any time on the SBA website.

In this episode of their podcast, the HVAC Jerks got together with Alex Ayers and Talbot Gee of Heating, Air-conditioning & Refrigeration Distributors International (HARDI) to discuss and clarify the SBA Loan process. Learn more about the Paycheck Protection Program and the Economic Injury Disaster Loans and how they can help your business survive during these difficult times.

GW

I applied for the 10k on Thursday and the PPP on Friday, lets see if the feds can shoot me some dough.

Alan (California Radiant) Forbes

I'd be interested in finding out more about loans for small businesses without employees. Although not as important, CV does impact me.

Erin Holohan Haskell

Alan (California Radiant) Forbes said:

I'd be interested in finding out more about loans for small businesses without employees. Although not as important, CV does impact me.

@Alan (California Radiant) Forbes, it looks like small businesses with no employees (sole proprietorships, independent contractors, and self-employed individuals) are also eligible for the Economic Injury Disaster Loan: https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/economic-injury-disaster-loan-emergency-advance

Zman

The PPP program works for one-man shops and independent contractors as well. Basically you can get 2.5x your average monthly wages. It maxes out at $100K annual salary. There are provisions for payments for leases and utilities as well. The program morphed for the first few days and was very confusing. It is pretty clear and defined now.

BDR529

Nobody rides for free.. This will be interesting.

GW

BDR In most cases, you're right. This time the feds are printing dough. Sure, the deficit will hit the roof. I will post a note when the dough lands in my acct. My banker says my app is good and says she will close on the loan next week. It’s not well suited for the guy that pockets all his/her cash- needs to be based on 2019 payroll (or I suppose taxable income if you’re not an “employee”)

motoguy128

My boss secured one of these loans. Says we’re good for at least 10 weeks. Honestly, we were slow anyway and probably not really impacted much by Covid19. But I think requests for preventative maintenance will be low, which is most of what we do in May and into June before it gets hot.

GW

All good, Friday the banker emailed me the doc. I met her outside the bank Saturday, late AM with the 14 page signed document. Early afternoon the money was in my checking account.