PPP Loan Reopened
BOC Capital Has Opened the Inquiry Form for New PPP Loans for Small Businesses
The Paycheck Protection Program is back with new rules intended to ensure funding goes to small businesses that need it most. We, at BOC Capital Corp. CDFI, hope to help many more small businesses! We look forward to working with you to support small businesses including independent contractors and self-employed individuals.
Since June of 2020, BOC Capital Corp. CDFI has made 375 Paycheck Protection Plan loans totaling over $5,518,607 to local, minority-owned, small businesses.
As a PPP lender, BOC Capital Corp. CDFI is accepting applications for the next round of PPP financing. The Paycheck Protection Program will accept applications beginning January 11th to new borrowers and certain existing PPP borrowers through community lenders like BOC Capital Corp., and later will be open to all participating lenders.
BOC Capital Corp. CDFI staff includes speakers of Spanish, French, Haitian-Creole, Chinese, Russian, Bangla, Nepali, Tibetan, Hindi, and Korean. We will be reaching out to all businesses that contact us and will share details and next steps to complete the application for first and second draw PPP forgivable loans.
New PPP loans for employers and independent contractors should provide much-needed relief to community businesses with 2.5 months of eligible payroll expenses or 3.5 months for eligible foodservice and hospitality businesses for 2nd draw loans.
Please use the link to BOC Capital's PPP Inquiry Form and feel free to share the link. The BOC Capital Corp. PPP Inquiry Form provided in both English and Spanish:
The U.S. Small Business Administration (SBA), in consultation with the Treasury Department, announced today that the Paycheck Protection Program (PPP) will re-open the week of January 11 for new borrowers and certain existing PPP borrowers. To promote access to capital, initially, only community financial institutions such as BOC Capital Corp. CDFI will be able to make First Draw PPP Loans on Monday, January 11, and Second Draw PPP Loans on Wednesday, January 13.
This round of the PPP continues to prioritize millions of Americans employed by small businesses by authorizing up to $284 billion toward job retention and certain other expenses through March 31, 2021, and by allowing certain existing PPP borrowers to apply for a Second Draw PPP Loan.
The PPP will open to all participating lenders shortly thereafter January 13, 2020. Updated PPP guidance outlining Program changes to enhance its effectiveness and accessibility was released on January 6 in accordance with the Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act.
“The historically successful Paycheck Protection Program served as an economic lifeline to millions of small businesses and their employees when they needed it most,” said SBA Administrator Jovita Carranza. “Today’s guidance builds on the success of the program and adapts to the changing needs of small business owners by providing targeted relief and a simpler forgiveness process to ensure their path to recovery.”
Key PPP updates include:
PPP borrowers can set their PPP loan’s covered period to be any length between 8 and 24 weeks to best meet their business needs;
PPP loans will cover additional expenses, including operations expenditures, property damage costs, supplier costs, and worker protection expenditures;
The Program’s eligibility is expanded to include 501(c)(6)s, housing cooperatives, direct marketing organizations, among other types of organizations;
The PPP provides greater flexibility for seasonal employees;
Certain existing PPP borrowers can request to modify their First Draw PPP Loan amount; and
Certain existing PPP borrowers are now eligible to apply for a Second Draw PPP Loan.
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses;
Has no more than 300 employees; and
Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.
For questions or concerns, please contact John Frias at (718) 576-2246 or ppp@bocnet.org.