The Small Business Administration has released the second round of loan funding through the Paycheck Protection Program. These funds are available to business owners, sole proprietors, 1099 sub-contractors, certain nonprofit organizations and more. In many cases, these loans can be forgiven and do not need to be paid back.
We desperately need this cash flow in Tucson. As this money is spent with local businesses, it circulates multiple times before it finds its way out of our local economy. Every dollar generates income for other businesses, and tax revenue for municipalities.
It is important that everyone who is eligible obtains these funds, even if they are doing OK financially. By spending this money in our local economy, it will benefit multiple businesses that are struggling. This is especially important for businesses like restaurants and hotels, which are suffering from huge reductions in income.
The key to getting approved for funding is to work with the right banker. They are the ones who help get the funding approved, and the debt forgiven. During the first round of funding, I spoke to many business owners who never got their funds.
Many were told they did not qualify, when in fact they did. Others simply could not connect to a banker willing to help them. I referred many of these people to the right banker, and then the process was fast and easy.
I spoke with Tom Thaller, vice president of business banking at National Bank of Arizona. According to Thaller, there are significant differences for this round of funding. The SBA is requiring a bit more paperwork to verify eligibility. Businesses with more than 300 employees may not eligible.
If you need to speak to a lender about your PPP loan, contact Tom Thaller at 584-4025 or email Thomas.Thaller@nbarizona.com. Once you obtain your funds, remember to spend that money with local businesses.
