The PPP Loan Forgiveness Portal is now open. The Paycheck Protection Program Direct Forgiveness Portal is a US Small Business Administration (SBA) initiative.
The new application portal streamlines applications for loans that are $150,000 or less for more than 6.5 million businesses. It enables business to apply for forgiveness directly through the SBA.
A Streamlined Approach
The initiative will therefore allow PPP borrowers to put their full forgiveness borrowing concerns behind them. Instead, they will be able to concentrate about operating and growing their business.
Isabel Casillas Guzman, SBA administrator, commented on the aim of the new portal and how it will assist small businesses in the borrowing process: ““The SBA’s new streamlined application portal will simplify forgiveness for millions of our smallest businesses – including many sole proprietors – who used funds from our Paycheck Protection Program loans to survive the pandemic.
“The vast majority of businesses waiting for forgiveness have loans under $150,000. These entrepreneurs are busy running their businesses and are challenged by an overly complicated forgiveness process. We need to deliver forgiveness more efficiently so they can get back to enlivening our Main Streets, sustaining our neighborhoods and fueling our nation’s economy,” Isabel Casillas Guzman continued.
So far in 2021, the SBA has approved more than 6.5 million loans, totalling over $275 billion. 96% of these loans have gone to businesses with less than 20 employees.
More than 600 banks have opted into the direct forgiveness program, allowing more than 2.17 million borrowers to apply through the portal. This figure represents 30% of loans.
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