SBA Loans, PA A Major Disaster Area & More
Just like Bill Murray in Groundhog Day, it can certainly feel like we are living the same day over and over again. However, things will get back to normal. Until then, keep moving forward!
Here are the latest updates which we believe are most relevant (short and sweet):
- Which SBA Loan is right for you? Lots of presentations are floating around related to the different SBA programs. Linked is a memo we have drafted to help give you a little clarity. Also, M&T Bank (courtesy of Shane Patterson) has also drafted a good slide deck overview (linked here).
- Fraud, no, say it ain’t so: We have been hearing about phishing scams and fraud related to the SBA programs. Please be aware of who you are dealing with and what information you are providing. Below are some links that may be helpful:
- SBA link to Scams and Fraud Alerts: https://www.sba.gov/document/report–sba-programs-scams-fraud-alerts
- Official SBA.gov website for the EIDL application: https://covid19relief.sba.gov/#/.
- Official SBA Website: www.sba.gov
- PA approved as a major disaster area: PA was declared a major disaster area by the Federal government today. Essentially, this means that Federal funds and resources are more readily available to state, county and municipal governments, along with eligible private non-profits. See the linked article for more details.
- For whom the bell tolls: Check out the latest update from Joel Berg at BizPA. He highlights the latest legal challenge filed in the Eastern District of PA related to Governor Wolf’s actions related to the Covid-19 crisis. Schulmerich Bells, a Bucks County-based maker of handchimes and handbells, and two of its employees have challenged the waiver process for deciding who can stay open. I see a lot of constitutional challenges coming out of this crisis.
- You can apply through any existing SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating. Other regulated lenders will be available to make these loans once they are approved and enrolled in the program.
- Lenders may begin processing loan applications as soon as April 3, 2020.
- This is a fluid process, so please consult with your local SBA approved lender for more details.
- A sample application is linked here.More details about the SBA’s Paycheck Protection Program have been released.
Please see all of our updates at the following link: https://mpl-law.com/resource-center/