[Fly]

SBA is advertising on twitter that anyone asking for fees upfront is a scam, so good luck with that. Charging people upfront fees that can barely survive on a Distatster Loan? That's a pretty solid scumbag move and if you do this to your current book of customers, doubtful they will ever do another loan with you again.

[Chambo]

SBA is advertising on twitter that anyone asking for fees upfront is a scam, so good luck with that. Charging people upfront fees that can barely survive on a Distatster Loan? That's a pretty solid scumbag move and if you do this to your current book of customers, doubtful they will ever do another loan with you again.

Agreed. People looking to gauge and take advantage in this current environment are a special order of scumbag and should be hung in the public square

[Yankeeman07]

Do a search for SBA Form 159D - Read, Comprehend and make your own decision.

For Agent Services In Connection With an SBA Disaster Assistance Loan

[WestCoastFunding]

Do a search for SBA Form 159D - Read, Comprehend and make your own decision.

For Agent Services In Connection With an SBA Disaster Assistance Loan

That’s the thing, trying to get one of these placed with a lender that they don’t have both a banking and lending relationship with is going to be nearly impossible. And brokers who do have the connects have been told we aren’t supposed to charge a packaging and placement fee to do it. Where does that leave the borrower? **** out of luck.

[cmarks]

its now 1% interest rate per mnuchin, and if they run out of money they will go back to congress for more

[WestCoastFunding]

its now 1% interest rate per mnuchin, and if they run out of money they will go back to congress for more

They will run out of money within weeks. The PPP will be renewed 3-4 times this year. But each time the process will become more difficult as borrowers use funds for other things than payroll. Many will say, "I've got to pay my suppliers who are breathing down my neck, along with other creditors, while also paying for other operating costs." Many will simply opt to use 25% of the funds for other uses not allowed by the PPP and settle for only having 75% of the loan forgiven.

Example: you're going to have nail salon owners collect on these funds for "payroll" but the shop isn't even going to be open in many areas that have "shelter in place". But that owner still is going to have liabilities. Sure, they may take this money and be the awesome owner and pay for their employees pay while the employees sit at home. But how many are going to use the money for bills other than PPP outlined uses? I would imagine many.

But here's the catch, once they use a single nickel outside the PPP guidelines, how many will then find themselves ****ed over for the next round of PPP that will happen in two months, after they're deemed ineligible for using funds outside the uses outlined? It will be interesting to see if there is an immediate verification process needed to renew for the next round.

[inacio]

There is nothing scumbag about it, I stand on that. I have hired a third party (accountant) to collect the documents required so happens they are sending their existing clients they do payroll for.

They have collected 35 merchant's data documents. They do not do it for free. They charge their clients a fee for the service. They Get it to me and I have everything ready to submit their loan. I DO NOT CHARGE THEM FEE TO HELP THEM SUBMIT THEIR LOANS nor do i get anything from the accountant service I just want the LEAD if you will.
Educate yourself in the differences of the services before childish name calling.
YOU CANNOT CHARGE FOR THE PPP SERVICE. scumbag boomerang.

[KanjorskiPartners]

One large bank near me where I know the Director of Business Lending said they process over 180,000 loans per year and they are expecting 100,000 applications in one week. It will be a total log jam. So many people are relying on it actually happening too. If 20% of total applicants get funded, I will be shocked.

Stefan Bernarsky
CIO
Kanjorski Partners LLC
570-862-7279 call or text
www.kanjorskipartners.com/refinance

[Don at MT]

I would like to speak with you regarding the number of loans you mentioned being processed. I am with MoneyThumb and we automatically convert PDF statements for loan processing and underwriting. They are done completely in a matter of seconds with full reconciliation and score cards. Is this something we can talk about?

Don Campbell
don@moneythumb.com
858-215-5862

[MCN]

This whole operation sounds like a cluste**** waiting to happen. The SBA already is slow and ineffecient. They simply dont have the manpower to do this. Many businesses wont qualify, and the ones that do will be so backed up it will take weeks or months before they get the money. I cant even imagime how many businesses will be closed for good.

[Winning]

There is some great info and perspectives in this thread. Much appreciated!

I wonder why there are not more merchants here on this forum learning about all these various things. A google search brought me here years ago when I 1st was trying to understand what a cash advance was and how it works, after my credit card processor told me I had been "Pre-Qualified" for a unsecured working capital advance.

[golf2014]

Its 2.5 times the average monthly payroll is loan amount. My initial info was no credit score was being used. Key part is 2.5x the employee payroll...most loan amounts will be 50k or less i think.

[sigmundpannu]

Its 2.5 times the average monthly payroll is loan amount. My initial info was no credit score was being used. Key part is 2.5x the employee payroll...most loan amounts will be 50k or less i think.

Correct, and most sba banks I’m partnered with won’t even touch those small loans.

[WestCoastFunding]

Correct, and most sba banks I’m partnered with won’t even touch those small loans.

I’ve found that 99.9% of banks will only work with their existing clients. If a borrower’s bank isn’t servicing the program, they’re going to be ****ed.

[WestCoastFunding]

Reality check:

“JPMorgan Chase, the biggest U.S. bank, was the first lender to publicly say what others had whispered: It emailed customers late Thursday to say the company “will most likely not be able to start accepting applications on Friday, April 3rd as we had hoped.“


https://www.cnbc.com/2020/04/02/jpmo...-guidance.html


NBC news is saying that every bank they talked to say they are not ready to do this tomorrow.

[Kevin Henry-Seacoast]

Reality check:

“JPMorgan Chase, the biggest U.S. bank, was the first lender to publicly say what others had whispered: It emailed customers late Thursday to say the company “will most likely not be able to start accepting applications on Friday, April 3rd as we had hoped.“


https://www.cnbc.com/2020/04/02/jpmo...-guidance.html


NBC news is saying that every bank they talked to say they are not ready to do this tomorrow.

Wanna take a wild guess how long it will actually take for a business to get access to this capital if approved? I would bet they would not see a dime until June if they are lucky. I

[FHFunding]

Wanna take a wild guess how long it will actually take for a business to get access to this capital if approved? I would bet they would not see a dime until June if they are lucky. I

You know it's gota be 90 days ABSOLUTE MINIMUM.

[cmarks]

Wanna take a wild guess how long it will actually take for a business to get access to this capital if approved? I would bet they would not see a dime until June if they are lucky. I

not a chance in hell. You are going off of previous experiences while others are going off of what the leaders are saying. 2-3 weeks worse case.

[Kevin Henry-Seacoast]

not a chance in hell. You are going off of previous experiences while others are going off of what the leaders are saying. 2-3 weeks worse case.

Not going to happen....... Once opened you would be lucky to get an approval in that time. I am going off what banks are saying....

[cmarks]

Not going to happen....... Once opened you would be lucky to get an approval in that time. I am going off what banks are saying....

bank of america is up and running now. the program end june 30th, so no, they will figure this out in the couple of days then do big media push on cnbc with cramer kissing trump and mnuchins ass saying what a great program this is that business owners already got funds.

[Winning]

Not going to happen....... Once opened you would be lucky to get an approval in that time. I am going off what banks are saying....

If that is the case what would you advise a merchant to do?

I think next week I should consider folding and start implementing some sort of exit strategy.

[cmarks]

Wanna take a wild guess how long it will actually take for a business to get access to this capital if approved? I would bet they would not see a dime until June if they are lucky. I

So as I Said, 2-3 weeks worse case businesses started seeing their money. There are people saying so in the FB group - 'CARES Act SBA Loan Insight Hub' and heres a link https://www.cbsnews.com/news/paychec...wing-loan-sba/

[Kevin Henry-Seacoast]

So as I Said, 2-3 weeks worse case businesses started seeing their money. There are people saying so in the FB group - 'CARES Act SBA Loan Insight Hub' and heres a link https://www.cbsnews.com/news/paychec...wing-loan-sba/

Chris,

I don't need to see a Facebook link. I know what is really going on. The amount that is actually funded so far would be like throwing a deck chair off the Queen Mary.

Best,

KH

[cmarks]

Chris,

I don't need to see a Facebook link. I know what is really going on. The amount that is actually funded so far would be like throwing a deck chair off the Queen Mary.

Best,

KH

I specifically was addressing your statement that business owners would be lucky if they got money by June, i said within couple weeks, you were wayyy off. We know its only a few, but that wasnt the point. There were always issues, but as Mark Cuban said this morning and as i mentioned, the banks were much of the problem although SBA had their own.

FB posts arent valid?? lol they are from business owners but i guess DF posts are?? makes sense.

[Yankeeman07]

If you want info directly from the SBA, since you do not appear to want to listen to others on this Forum,
sign up for the SBA Updates - http://www.sba.gov/updates

You will receive email updates, plus invitations
to the SBA Small business Recovery Webinars - I'm assuming they are holding these events in different regions of the USA