It's back, and bigger than ever! More forgiveable, with extra no tax consequences, and mostly out of money!
Only regional CDFIs are able to lend now, and MoFi is currently referring borrowers to Lendistry. I'm assuming that the application process is similar.
Seriously though, the latest round of aid for employers, entrepreneurs, and contract/gig workers is out, and applications are simple. With access to the right documents and technology (scanner), it should take you roughly 30 minutes to apply.
Here's the rundown of the First-Draw program through MoFi as I experienced it.
All of this is available at MoFi.org.
There's a big blue 'Apply Now' button. Click it.
As you scroll down, there are three options. Again, big(ger) blue buttons.
- This is my first PPP Loan
- I got a loan from MoFi in 2020
- I got a loan from someone else
Paraphrased, but you get the idea.
I clicked #1.
Simple page, leads to SBA Form 2483.
There is a link to a help document, and then the big daddy, the MoFi application.
The things that will be helpful at this point are the technology, and having paperwork ahead of time.
You'll want, in no particular order (because you must have them all)
- a voided check for the account you want the loan deposited in
- a valid driver's license or ID
- your 2019 or 2020 taxes
- Schedule C/K1/etc
- Page 1
- Line 31
- Line 31/12
- Line 31/12 * 2.5
A few tips:
The SBA form is pretty short. You should have mostly no's and 1 yes on the Y/N questions, so don't just click all 'no'. There are a few sneaky 'initial here' places mixed in with those 'no's.
You cannot combine different schedule C's, and there are minimums for this program.
If you finish your SBA app, print out, sign, scan, then scan all your supporting documents, you can work off of those and the MoFi portion takes maybe 10 minutes. You need a few pieces of info from the SBA form, upload, upload, upload, done.
Almost too easy. I was worried, but there was a confirmation email from a real person that evening, and several back-and-forths about a potential issue that was really a non-issue.
This is a basic walkthrough of the PPP1 through MoFi, if you are going through a different lender, getting a second draw, or just have questions, reach out to us at the SBDC and we'll see how we can help.
