Jason Smith: Help is available for small businesses during COVID-19 pandemic
Small businesses struggling to stay afloat during the global COVID-19 pandemic can apply for federal loan assistance.
On Friday, April 3, the Greater Shreveport Chamber, along with the Bossier Chamber of Commerce, hosted their weekly webinar for chamber members to receive updates regarding COVID-19.
Topics covered by speakers during the webinar included an update on applying for SBA loans, pdate on the paycheck protection program, accounting requirements for P3s and economic disaster loans and tips. and telecommuting tips.
National Citizens Bank President Jason Smith provided an update on the Paycheck Protection Program webinar.
One of the main differences between the SBA loan and the Paycheck Protection Program (PPP) is the fact that the PPP will go through your local bank. Not directly through the small business administration. Many, if not all, local banks are eligible to participate in the PPP, Smith said,
“I have been banking for over 30 years and I cannot recall an experience comparable to the one we had at National Citizens Bank. It’s an experience shared with my fellow lenders, ”said Smith.
“Certainly the PPP program is a remarkably effective program in which a lot of work has been put into. Sadly, even until 11am today – which was the last time I was lucky enough to get an update from our team – there are still a number of questions about the details of the program. . I would ask for your patience when working with your lender. It is best to work with them on the requests they have. And if things change during the program, don’t be surprised, ”he added.
On March 27, 2020, President Trump enacted the Coronavirus Aid, Relief and Economic Security Act (“CARES”). The CARES Act introduces the Paycheck Protection Program (“PPP”) with $ 349 billion in federally guaranteed loans to support small businesses. The PPP is essentially a modified version of the SBA’s existing 7 (a) loan program. The CARES Act also expands the EIDL program with $ 10 billion in additional funding for the SBA, including a very attractive cash advance of $ 10,000 for applicants. Many small business owners facing economic hardships from COVID-19 should seriously consider these programs as a way to help them meet their working capital obligations.