Over 340,000 small businesses use PPP loan forgiveness tool in the first 2 weeks

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In the first two weeks Small Business Administration (SBA) PPP Loan Forgiveness Tool accepted over 340,000 applications. And the SBA says the response has exceeded all expectations. Are you one of 340,000 small businesses that have used PPP loan forgiveness portal? If so, thanks for taking advantage of the simplified tool to get PPP loan forgiven.



Loan forgiveness portal became popular in the first 2 weeks

The streamlined PPP Loan Forgiveness Process is specially designed for small businesses with loans up to USD 150,000. With this platform, businesses with such loan amounts can apply for loan forgiveness directly to their lender from Direct Forgiveness SBA website

Prior to the introduction of the PPP Loan Forgiveness Portal, borrowers had to download forms or obtain them from their banks to initiate the forgiveness process. And according to SBA“Some lenders have not yet developed the technology or processes to even begin accepting forgiveness applications, and many have not actively approached borrowers to assist them in the process.”

The SBA continues: This explains the reason why millions of borrowers, including more than 700,000 loans issued in 2020, did not submit this one-page application. Once registered and registered, you can fill out the form in just six minutes on your PC or smartphone. After that, you will receive a decision on forgiveness within a week of filing.

PPP Loan Forgiveness Instrument Approval Rate

According to the SBA, half of the 340,000 applications on the portal are approved in whole or in part. This amounts to over $ 2.4 billion for these borrowers.

The portal is addressed to borrowers with income less than $ 150 thousand, which is 10 523 956 small businesses as of August 15, 2021. To date, 4,988,220 applications have been received from these borrowers for 2020 and 2021.

Further breakdown shows smallest business or borrowers with income less than $ 50,000 make up the largest percentage of total PPP loans. They represent 9,009,866 businesses, but they also make up the group with the fewest forgiveness. On the other hand, borrowers between $ 50,001 and $ 149,999 are 1,524,090 borrowers. However, 65.3% of them, or 989,062 people, applied for forgiveness.

If you are one of the 5,535,736 small businesses with a loan of less than $ 150,000, be sure to use the portal and apply today. There are also more funding opportunities to keep your small business going SBA Grants for Low-Income Communities

Image: Shutterstock




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