ahalpert
Major Contributor
I wasn't well informed. But once I started the application process I was surprised how funds were allocated. How I understand it the more you made the more you were entitled to. I used my 2019 tax return and the calculation was made off of Schedule C gross profit not on how much your business went down during the pandemic.
I didn't apply to last year's PPP because I didn't know the loan was guaranteed to be forgivable (I never heard of such a thing). When my income went to zero for six months last spring I had no desire increase my debt. If I put it in the bank, the interest rates are almost zero.
I read that mostly big business got last year's PPP loans because lenders would be paid a commission on percentage of the entire loan. If it took the same time to approve $100,000 loan why would you waste your time with a $10,000 loan. This time around they paid flat rate so the banks would loan to small business owners and sole proprietors. The banks have been making loads of money. The government could have used the income tax records to identify who actually reports as a business and send them aid directly but instead they funneled it through the banks so they could profit off it.
I heard about the a second draw PPP loan but found out I'm not entitled because only people received the first draw can get the second draw. So if you got money you can get more money but if you didn't get any then you are not entitled to anything. It's laughable how it's structured. I don't like taking hand outs but it hurts double when millions of people got it who didn't even need it... I recommend my close friend to apply for the PPP who was hesitant. She felt bad for me because she applied long after I did and received her money in a week. I can't be bitter because at least I was able to help someone.
After reading this post, I'm not sure whether to cry or scream. What a wonderful world we live in