Not to Worry - Announcement on SBA Depleted Funding PPP/EIDL

The News – if we have filed your PPP/EIDL Application...

Good morning, everyone – as you may have heard, the money appropriated through the CARES Act has been depleted. The SBA website stated today: “Applicants who have already submitted their applications will continue to be processed on a first-come, first-served basis.” If your bank has received your Paycheck Protection Program application prior to this morning, they should honor it.

Continued Funding...

Treasury Secretary Mnuchin and the Democrats in the House have already been in negotiation for bridge funding/replenishing/back-funding the programs. I believe it will be in their best political interests to be part of a quick solution. I do not foresee they will fail. The “inside baseball” indicates the House would like to add funding for other groups not included in the first round. Those are political calculations, and ones I have discussed with many of you in the past couple of weeks. But to the point, the programs will ultimately be recharged. This time.

If we HAVE NOT filed your PPP/EIDL Application...

I completely understand the need for pondering important decisions where money is concerned. But the depletion of these funds also emphasizes the importance of “first come, first-served.” The CARES Act will not be amended as a law, so it will be recharged. So as you gauge the degree to which you’ll need this money in a time of serious uncertainty, please prepare to get your share this second time around. The infusion of cash this next round is certain. I can’t say for sure if there will be a THIRD round. So please, call me so we can prepare you, just as I prepared the folks for whom I have SBA confirmation receipts. Let's put your stake in the ground!

That’s the short version of events. If you’d like the long version, give me a call or text at 202 460 5252, or email nj@capitolstepsconsulting.com. We'll get through this.