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  1. #1
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    Lightbulb PPP Restarts

    “The Small Business Administrationwill resume accepting PPP loan applications on Monday, April 27at 10:30 AM EDT from approved lenders on behalf of any eligible borrower. Thiswill ensure that SBA has properly coded the system to account for changes madeby the legislation.>>
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial

  2. #2
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    Dave, if the lender approves the applicant and sends to SBA, do they do another round of UW or do they just rubber stamp it? I would think if the lender approves it by sending it to SBA, then SBA would almost auto approve it?

  3. #3
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    The lender has a duty to underwrite the file - This is still a "LOAN" everyone appears to be missing that point. The media blasts out that the PPP is "Forgiven" and many miss the word "BUT"

    The merchant has to spend these funds within 8 weeks of them accepting the loan
    and they have to prove they spent the $$ within the guidelines.

    Time shall tell, but, I'm betting that many merchants will not be "Forgiven"
    which then generates additional debt for a business owner, that has to be repaid within 12 months.


    IMO - merchants should forgo the PPP and apply for a SBA Loan.

    Read the "Additional Funding Notice" on the SBA Web Site - read between the lines:

    https://www.sba.gov/page/coronavirus...ction-header-0

    SBA Debt Relief:

    https://www.sba.gov/funding-programs...ction-header-0
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial

  4. #4
    Quote Originally Posted by Yankeeman07 View Post
    Time shall tell, but, I'm betting that many merchants will not be "Forgiven"
    which then generates additional debt for a business owner, that has to be repaid within 12 months.
    Correction*

    Any portion of the PPP disbursement which is not forgiven will turn into a loan with a 2 year term.

  5. #5
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    Yes, that part I understand but does anyone know the answer to my original question about what happens after the lender approves it and submits the file to the SBA? Does the SBA do any type of UW or will they accept the lender submitting it to them as it is approved since the lender submitted it?

  6. #6
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    Quote Originally Posted by Michael Sla*****er View Post
    Correction*

    Any portion of the PPP disbursement which is not forgiven will turn into a loan with a 2 year term.
    2 year term , but, the 6 months is deferred) (that is a change) resulting in a loan that will amortized over 18 months. (check that, I believe originally it was a 1 year deferred)

    Merchant is approved for a PPP in the amount of $100K - and we will assume it is (NOT Forgiven) now has a note for $105,000.00 payable over 18 months - estimated monthly payment of $5883.00

    IMO - a merchant that has been approved for a PPP should immediate apply for SBA 7(a) or micro loan.

    The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial

  7. #7
    Quote Originally Posted by Yankeeman07 View Post
    2 year term , but, the 6 months is deferred) (that is a change) resulting in a loan that will amortized over 18 months. (check that, I believe originally it was a 1 year deferred)

    Merchant is approved for a PPP in the amount of $100K - and we will assume it is (NOT Forgiven) now has a note for $105,000.00 payable over 18 months - estimated monthly payment of $5883.00

    IMO - a merchant that has been approved for a PPP should immediate apply for SBA 7(a) or micro loan.

    The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
    Hi Dave,

    Who are you submitting applications to for the SBA 7(a)?

  8. #8
    Senior Member Reputation points: 16117 capaxess's Avatar
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    Quote Originally Posted by Yankeeman07 View Post
    2 year term , but, the 6 months is deferred) (that is a change) resulting in a loan that will amortized over 18 months. (check that, I believe originally it was a 1 year deferred)

    Merchant is approved for a PPP in the amount of $100K - and we will assume it is (NOT Forgiven) now has a note for $105,000.00 payable over 18 months - estimated monthly payment of $5883.00

    IMO - a merchant that has been approved for a PPP should immediate apply for SBA 7(a) or micro loan.

    The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
    I have 2 files w/full documents to submit for 7a SBA but I'm being told no applications are being accepted now - can anyone confirm that?

  9. #9
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    Quote Originally Posted by capaxess View Post
    I have 2 files w/full documents to submit for 7a SBA but I'm being told no applications are being accepted now - can anyone confirm that?
    Considering every bank in the Country is busy processing PPP requests.....Getting anything else done this week will be challenging.

    KH
    Hedley Lamarr......That's Hedley

  10. #10
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    I rep for a SBA Bank
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial

  11. #11
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    Quote Originally Posted by capaxess View Post
    I have 2 files w/full documents to submit for 7a SBA but I'm being told no applications are being accepted now - can anyone confirm that?
    I rep for an SBA Bank - the merchant seeking a working capital loan >$350K ?
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial

  12. #12
    Senior Member Reputation points: 81655
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    Michael - sent you an email
    Dave Lambert, Business Development
    dave@fcbankcard.com
    Merchant Services Consultant
    High Risk Merchant Payment Solutions
    SBA 7(a) Loans & Short-Term Funding
    T/VM: 727-291-7890
    Office: 727-233-1111
    Skype: fc-financial



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