Biz2Credit announces taking pre-applications from small businesses for new round of the PPP
By Pavithra R
New York-based Biz2Credit, provider of an online marketplace for small business funding, announced taking pre-applications for the new round of the PPP.
The new PPP round sets aside $285 bn for the nation’s SMB owners in desperate need of relief funds. The second PPP round has some critical changes in the PPP to ensure that truly small businesses and companies owned by minorities or located in economically disadvantaged areas are better served this time. The new funding set-asides at least $15 bn for first loans issued to truly small businesses with ten or lesser employees. The program allows for first loans of $250,000 or less issued to entities in low- or moderate-income areas. Additionally, it sets aside at least $25 bn for second loans to entities that meet eligibility criteria.
“If your business has been harmed by the coronavirus pandemic, you can get financial assistance from lenders approved by the government. Biz2Credit is offering support for companies that need since we are one of the few FinTech companies approved for the program,” said Rohit Arora, CEO of Biz2Credit.
With Biz2Credit SMB owners can fill out an application online, and the firm will be ready to submit to the SBA as soon as the program opens. The firm has continuously worked to simplify the application process for small businesses since PPP was first introduced.
“We are ready to help small businesses get PPP funding as quickly as possible when the applications for the second PPP round open. Even if a firm was denied loan during the first round of the program or secured financing from another source during the PPP’s first round, we’re ready to provide assistance,” added Arora.
To qualify for a second PPP loan, organizations would have to:
- Employ 300 or fewer workers.
- Show at least a 25% reduction in gross revenue during a quarter in 2020 compared to the same period in 2019, with some exceptions.
- Exhaust their first loan before receiving a second one.
“This means faster approval times and confidence that your business has the best shot of receiving funds from the program again,” Arora added. “Companies that already got a PPP loan earlier this year may now apply for a second draw, if they qualify, and businesses that didn’t receive funding during the initial PPP can now apply for a first draw loan.”
Founded in 2007, Biz2Credit was built to make the business financing process work better for lenders and their customers. The firm has also established a COVID-19 Resource Hub for business owners who have questions about the PPP or other financial relief.
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