In today’s Report:
The SVOG – Shuttered Venue Operating Grants – is starting to get some news, in part because it took some time to figure out our to implement Congress’ wishes. The applications will be accepted on April 8. It’s pretty clear that cash is not being thrown around willy-nilly any more – I guess that depends on your definition of willy-nilly, though. The criteria for securing a grant from the federal government for the SVOG is similar to applying for a loan from a bank including quarterly reporting and an entity audit is required for grants of $750,000 or more. There are clear conditions and a multitude of supporting documents required for approval. However, you can get up to 45% of your gross earned revenue for 2019. Call me or go here to learn more. You can also go to sba.gov/svogrant. Perhaps because they are wary of members of congress getting involved, shuttered strip joints need not apply. For real.
PPP Extension Act of 2021 – Joe Biden signed the Act that moves the “Best When Used By” date to May 31. However, it is my calculation that the funds will have flown off the shelves by the first week of May or so. The SBA has approved 3.5 million loans for $211 BILLION through March 28 with $70 billion to go. That is an average of about $70 billion/month. If you are going to submit an application, you should make sure it is approved by the SBA by April 21 to have a chance of funding.
In 2020, the FinTech’s recovered the fumble made by many of the banks in getting the PPP program done. In 2021, they turned the ball back over as they were inundated with loans and the inability to return emails (never mind providing a phone number). However, the Chatbot was there but only to emphasize the fact that Artificial Intelligence has a long way to go. Regardless, they are starting to get through their bottlenecks and getting loans done, so be patient.
That’s it for this week, folks. Enjoy your spring break if you are taking any and call me with any questions.