Congress passes additional funding for Small Businesses
To meet the unprecedented demand for small business loans, Congress this week passed an additional $360 billion for two assistance programs for which real estate brokers may apply. The initial round of funding was exhausted last week.
The National Association of REALTORS® has issued this advice for brokers seeking assistance through the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) programs.
Quick Guidance for REALTORS® on the PPP and EIDL:
- If you’ve already applied for an EIDL:
The U.S. Small Business Administration (SBA) is processing applications already in their system on a first-come, first-served basis. You do not need to reapply.
- If you have not already applied for an EIDL:
Check back at the SBA application page once the additional funding is signed into law. The SBA will re-open applications shortly afterwards.
- If you’ve already applied for a PPP loan through an SBA lender but have not been approved yet:
Check with your lender to see if they are maintaining a queue of applications during the lapse or if you will need to reapply when the renewed funding comes through.
- If you have not applied yet for a PPP loan through an SBA lender:
Have the application form filled out and your documentation ready to provide to your lender. (For businesses with employees, have payroll documentation; for independent contractors, have your 2019 Form 1040, Schedule C, and 1099-MISC.) If you have an existing relationship with an SBA lender, you should go to that lender first once the program reopens, but be prepared to try multiple lenders, which you can find on the SBA site.
Get the latest news and guidance on COVID-19 and real estate at nar.realtor/coronavirus
New video by NAR: Hear directly from quick-acting REALTORS®, with businesses of varying structure and size, who successfully obtained PPP Business Loans or EIDL.