The Small Business Administration leads the way for new and existing businesses to get the funding those businesses need to keep the U.S. economy going. SpotOn Financial has relationships to compete with local banks to provide access to sba loans, government small business loans, we have helped business owners in Colorado Springs, Boulder, Denver, and across the United States get access to emergency business loans offered by the SBA.
Although the Small Business Administration offers many types of business funding. SpotOn Financial focuses our efforts, team, and network in two key areas. Those are the SBA (7a) Real Estate Program with this program we can offer both purchase and refinance and the SBA 504 Programs for Working Capital and Equipment Purchase. We have helped business owners qualify for other government small business loans as well as emergency business loans.
The Small Business Administration 7(a) loans provide financing from $25,000 to $5 million to meet your general business needs, and are offered by banks. SpotOn Financial works with this banks to streamline the lending process and for a fixed fee helps borrowers apply and fund their SBA (7a) loan request.
The U.S. Small Business Administration 504 Loan program conserves your working capital by requiring only a 10 percent borrower contribution.If you do not qualify for conventional financing, the SBA- 504 loan may be right for you.
Use of proceeds: Long-term, fixed assets for expansion or modernization (usually real estate or large equipment). Refinancing of large equipment and/or owner-occupied commercial real estate may also be possible.
Are you eligible to get a loan?
Qualified borrowers can use Small Business Administration loans to:
SBA, in consultation with the U.S. Treasury Department, reopened the Paycheck Protection Program (PPP) for First Draw PPP Loans the week of January 11, 2021. SBA will begin accepting applications for Second Draw PPP Loans on January 13, 2021.
To promote access for smaller lenders and their customers, SBA will initially only accept Second Draw PPP Loan applications from participating community financial institutions (CFIs), which include Community Development Financial Institutions (CDFIs), Minority Depository Institutions (MDIs), Certified Development Companies (CDCs), and Microloan Intermediaries. Paycheck Protection Program lending will reopen to all participating lenders shortly thereafter. At least $25 billion is being set aside for Second Draw PPP Loans to eligible borrowers with a maximum of 10 employees or for loans of $250,000 or less to eligible borrowers in low or moderate income neighborhoods.
The Paycheck Protection Program (PPP) now allows certain eligible borrowers that previously received a PPP loan to apply for a Second Draw PPP Loan with the same general loan terms as their First Draw PPP Loan.
Second Draw PPP Loans can be used to help fund payroll costs, including benefits. Funds can also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations.
For most borrowers, the maximum loan amount of a Second Draw PPP Loan is 2.5x average monthly 2019 or 2020 payroll costs up to $2 million. For borrowers in the Accommodation and Food Services sector (use NAICS 72 to confirm), the maximum loan amount for a Second Draw PPP Loan is 3.5x average monthly 2019 or 2020 payroll costs up to $2 million.
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
You can apply for a Second Draw PPP Loan from January 13, 2021, until March 31, 2021. To promote access for smaller lenders and their customers, SBA will initially only accept Second Draw PPP Loan applications from participating community financial institutions (CFIs). All Second Draw PPP Loans will have the same terms regardless of lender or borrower.
If you wish to begin preparing your application, contact SpotOn Financial today to submit your application and package your request.
SpotOn Financial is classified as an "Agent". Agents or authorized representatives assisting businesses in obtaining a Paycheck Protection Program loan from the U.S. Small Business Administration (SBA) may be eligible to receive an agent fee.
Based on current guidance, A bank will pay agent fees if:
A Lenders' specific Paycheck Protection Program agent fee reimbursement process is subject to change pending additional guidance anticipated from the SBA. Eligible agents will receive payment after a bank receives lender fees from the SBA for their client’s loan.
Ths Small Business Administration is currently funding small businesses to continue the economic growth of America. Your business can qualify with the right partner to support your request. SpotOn Financial can help you get the vital capital you need backed by the United States SBA.