[BB_Cooper]

http://www.sba.gov/funding-programs/...on-program-ppp


Robert S Bloink
EVP of ISO Partnerships
Direct: 248-341-9477
Email: bb@cooperasset.com
Web: www.cooperasset.com

[mrmrg]

Hey Robert, how does cooper asset plan on brokering these out to the SBA?

[BB_Cooper]

Cooper won't be brokering, but this program and EIDL loans will keep many of your merchants afloat through the summer.

The SBA released the compensation guidelines for this PPP program yesterday. 1% is the max agents can make from the loan proceeds. West Coast and other can weigh in if they can think packaging fees can be charged on top-

[Yankeeman07]

Where did you see the 1% that agents can earn.

SBA Form 159D - I read that differently

[Wheetie]

Where did you see the 1% that agents can earn.

SBA Form 159D - I read that differently

That and how do I bring this product to my clients?

[WestCoastFunding]

Cooper won't be brokering, but this program and EIDL loans will keep many of your merchants afloat through the summer.

The SBA released the compensation guidelines for this PPP program yesterday. 1% is the max agents can make from the loan proceeds. West Coast and other can weigh in if they can think packaging fees can be charged on top-

Depends on how you plan on handling all 7(a) and EIDL programs. There are essentially 5 programs that were part of the CARES act:

-7(a) enhancements
-7(a) Express enhancements
-EIDL long term loans
-EIDL cash advance
-PPP

If you want to charge a standard fee to provide an all encompassing eval, packaging and loan placement for 7(a)s while offering "free guidance'' as a bonus to place with the PPP and EIDL, then there you have it. But you need to be full-service with all 7(a) programs to keep your ass out of trouble.

But if you think you'll have an easy time getting a referral fee from a lender to refer a PPP, good luck with that. There will be 1,000,000 PPP applications this week, and lenders don't need help getting their own submissions to them. They will be overwhelmed. No need in cutting into their own "limited" compensation by offering referrals they don't need. Hell, nearly 99% will only want to deal with their own customers because it doesn't even make economical sense for them to waste the manpower to deal with this, due to the fact they're going to have to shift a ****-ton of resources just to handle the flow of applications. Its a headache to them.

Lastly, I love how the govt says "stay inside and don't gather in crowds" while also saying "go to your local bank branch to apply". Haha, get ready for the long-lines at small banks.

[PDM Cap]

It says on the link you provided:

"Neither the government nor lenders will charge small businesses any fees."

[ryan $]

It says on the link you provided:

"Neither the government nor lenders will charge small businesses any fees."

Goverment or Lender....Doesn't say anything about Document Preparation/Brokers.

I know a guy who made MILLIONS AND MILLIONS on Student Loan Deferment, Yes the Government didn't charge anything to Apply, But he would charge $300 Bucks to Complete/File your Paperwork.

Tax Preparation - Same thing.

[Steven_O]

Goverment or Lender....Doesn't say anything about Document Preparation/Brokers.

I know a guy who made MILLIONS AND MILLIONS on Student Loan Deferment, Yes the Government didn't charge anything to Apply, But he would charge $300 Bucks to Complete/File your Paperwork.

Tax Preparation - Same thing.

Same here... I knew a few. Same model, different industries/services.

[Yankeeman07]

Goverment or Lender....Doesn't say anything about Document Preparation/Brokers.

I know a guy who made MILLIONS AND MILLIONS on Student Loan Deferment, Yes the Government didn't charge anything to Apply, But he would charge $300 Bucks to Complete/File your Paperwork.

Tax Preparation - Same thing.

Regarding PPP - a business owner more than likely go their CPA/Accountant/Bookkeeper to provide the SBA Bank with payroll documents etc.

But if you think you want to play the game of "Document Preparation/Broker download, read & understand
SBA Form 159D - FEE DISCLOSURE FORM AND COMPENSATION AGREEMENT
For Agent Services In Connection With an SBA Disaster Assistance Loan

[CaliFan]

Regarding PPP - a business owner more than likely go their CPA/Accountant/Bookkeeper to provide the SBA Bank with payroll documents etc.

But if you think you want to play the game of "Document Preparation/Broker download, read & understand
SBA Form 159D - FEE DISCLOSURE FORM AND COMPENSATION AGREEMENT
For Agent Services In Connection With an SBA Disaster Assistance Loan

It is against the law to charge any additional fees on these loans as the SBA has disclosed, and the SBA has already provided the broker spread on commission. This is a non-issue.

[ryan $]

Technically your not Charging a Fee on the LOAN
Your Charging a Service Fee to FILE the PAPERWORK in ORDER TO APPLY for the LOAN....

Im not a Lawyer.... But I could make a case.....

[BB_Cooper]

See the link below that the SBA sent yesterday to the Nas. Ass. of Gov. Guaranteed Lenders(NAGGL), which sets out the fees lenders and agents can incorporate, http://home.treasury.gov/system/file...ct%20Sheet.pdf

[cmarks]

its 1% up to 350k for PPP, then rates change. no fees can legally be charged otherwise.
https://www.funderintel.com/post/sba...ection-program

[BP4130]

A broad set of additional lenders can begin making loans as soon as they are approved and
enrolled in the program. New lenders will need to submit their application to
DelegatedAuthority@sba.gov to apply with the SBA.

They indicated that they are now accepting application for Lenders who want to be part of this program who weren't an approved lender before but I am having a difficult time to locate them. Do you guys any clue on this?

[cmarks]

A broad set of additional lenders can begin making loans as soon as they are approved and
enrolled in the program. New lenders will need to submit their application to
DelegatedAuthority@sba.gov to apply with the SBA.

They indicated that they are now accepting application for Lenders who want to be part of this program who weren't an approved lender before but I am having a difficult time to locate them. Do you guys any clue on this?

Im sure those lenders will announce themselves in the next couple of days. No way of knowing until theyre approved

[Winning]

I wonder will this be like Obama Care, where as the government issued grants to States to create programs that would assist the public in educating them, and signing up for the service?

So the model used for Obama Care, agents would still get paid irregardless if someone signed up or not.. It was more "Public Service".. As long as you met with people and discussed the options you were providing the service that the grant would pay you for.

[Hedley Lamarr]

You are all wasting your time thinking you are going to make a lot of money brokering these products......

[fundingsmbs]

go to the NACLB website in 24 hours for details on the how

[cmarks]

go to the NACLB website in 24 hours for details on the how

Dangerfield didn't know the correct rate and term, he said 4% at 10 yrs, its .5% for 2 yrs

[Yankeeman07]

go to the NACLB website in 24 hours for details on the how

Paycheck Protection Program Directly from SBA Web Site - Information is fluid, check daily:

https://www.sba.gov/funding-programs/loans/paycheck-protection-program-ppp

[inacio]

There will be a fee (cost) for the merchant if all documents need to be collected.
Will accountants, bookkeepers do this for free, NO! neither can we, it will be time consuming.

EXAMPLE OF DOCUMENTS NEEDED.
Articles Of Corporation (if corporation)
Or Business License
IRS Form 940 = Employers Annual Federal Unemployment (FUTA) Tax Return
IRS Form 941 = Employers Quarterly Federal Tax Return
Payroll Summary As Of February 15 2020 Or
Employee Pay Stubs As Of February 15 2020
Corresponding Bank Statements
Mortgage Statement For This Business (most recent) Or
Rent / Lease Statement (most recent)
Utility Bills: Electric – Gas – Water – Internet – Phone – Waste – Grease – Etc
Copy Of Drivers License

This is a large collection of documents.
It is allowed to charge for these service and many payroll companies will.
This service is not for processing the loan but the collection of all necessary documents to give to the lender, broker, agent etc.

In other words. If you want to provide a second service for collecting the documents needed and charge a fee for that service to help a merchant submit the application, nothing wrong with that. Accountants are already doing it.

Then you help them with their PPP application charge them NO FEE.

Once all docs are received and signed, then send the loan doc with all required docs to the lender, DO NOT CHARGE THEM A FEE FOR SUBMITTING THE LOAN APPLICATION (as you cannot charge a fee for this service) and receive your commission from the lender, heck open your own document collection service.
If lenders think they are just going to sit on the phone and merchants are just going to collect all this data and send it to them they are nuts, very few will. They will struggle to collect this data and they need us BOOTS ON THE GROUND (PHONE) Local to to this. Huge Opportunity awaits us.

[Yankeeman07]

This is not legal advice - but -before you go off the deep ledge, I would suggest you read and comprehend
SBA Foom 159D - Fee Disclosure and Form and Compensation Agreement

"If an Applicant chooses to employ an Agent, the compensation an Agent charges to and that is paid by the Applicant must bear a necessary and reasonable relationship to the services actually performed and must be comparable to those charged by other Agents in the geographical area. Compensation cannot be contingent on loan approval....."

It is an obligation of the merchant to disclose whether they paid a fee

[inacio]

Indeed

[inacio]

this is not legal advice - but -before you go off the deep ledge, i would suggest you read and comprehend
sba foom 159d - fee disclosure and form and compensation agreement

"if an applicant chooses to employ an agent, the compensation an agent charges to and that is paid by the applicant must bear a necessary and reasonable relationship to the services actually performed and must be comparable to those charged by other agents in the geographical area. Compensation cannot be contingent on loan approval....."

it is an obligation of the merchant to disclose whether they paid a fee

indeed