…and no losers; some lenders are just better than others. There are 5,200 banks in these United States and they all do something differently.
The winner this week was clearly California Bank and Trust. Within an hour of completing and uploading a First Draw request, the borrower received a phone call. That is not a typo. A phone call, from the local branch. Do they even have phones anymore?! I thought it was all emails and chatbots. I also think it helped significantly that this was an existing CB&T client but no matter; it was still impressive. Bank of America funded a Second Draw within 10 days of the application as did Mechanics Bank, a small community bank in the Bay Area.
Typical wait times for the big banks vary. Borrowers who applied for Second Draw loans should expect a 10 to 14 day waiting period before receiving funds. If anyone has received their funding, please let me know how the process went as I am keeping track. Just Reply back to me.
More stories continue to pop up about lenders requiring second draw borrowers to have their first draw forgiven. This seems to be coming from borrowers that went to a different lender then the first PPP loan. Feedback on this would also be very welcome. Like last year, I want to get good information out there, particularly as people struggle to secure a PPP Second Draw loan. Also, some lenders are requiring 2019 tax returns. There is certainly more vigilance this time around.
California Competes Tax Credit – lost in the muck and mire of what is PPP, is the California Competes Tax Credit. The second round starts in March but get ready now. In short, if you are a business that is looking to expand or looking to move out of state or just looking for a reason to stay in California, this tax credit from the State can make a difference in your ROI calculations. Click on the links or call us to learn more.