The SBA is out of Money – Now What?
The SBA is out of money…again.
The SBA made a surprise announcement this week that they ran out of money for PPP2.
Well, ran out isn’t quite accurate.
They still have $14B in funding left.
But $6B is earmarked for hold codes.
These are basically applications with errors that the banks and SBA can’t figure out yet.
And another $8B earmarked for designated community financial institutions.
These are community banks serving as minority depository institutions and community development financial institutions.
So effectively the SBA is out of money for PPP2.
For me, the end of the PPP is like the end of a crazy relationship. You hate to watch them go but man was it a crazy year together. It will be nice to get some sleep again (except in my case I’m still not sleeping).
So if you didn’t get the PPP, what other options do you have?
Well, quite a few actually.
- Employee retention tax credits (refunds)
- Emergency Sick Leave tax credits (refunds)
- Emergency FMLA tax credits (refunds)
- Net Operating Loss Carrybacks and Carryforwards
- EIDL and EIDL increases
- EIDL targeted grant requests
And there is talk of another stimulus this summer. So stay tuned!