In the first two weeks, the Small Business Administration (SBA) PPP loan remission tool accepted more than 340,000 submissions. And the SBA says the response has exceeded expectations. Are you one of the 340,000 small businesses that have used the PPP loan cancellation portal? If so, well done for taking advantage of the simplified tool to get your PPP loan canceled.
Popular loan forgiveness portal in the first 2 weeks
The streamlined PPP loan cancellation process is specially designed for small businesses with loans under $ 150,000. Thanks to this platform, companies with these loan amounts can submit a loan forgiveness request directly to their lender at the SBA Direct Forgiveness Website.
Before the PPP loan remission portal, borrowers had to download the forms or obtain them from their bank to initiate the remission process. And according to the SBA“Some lenders had yet to develop the technology or processes to even begin accepting rebate requests, and many did not actively reach out to borrowers to help them through the process. “
The SBA goes on to say that this explains why millions of borrowers, including more than 700,000 loans made in 2020, did not submit this one-page request. After signing up and registering, you can complete the form in as little as six minutes on PC or smartphones. You will then receive the pardon decisions within one week of the date of submission.
PPP Loan Discount Tool Approval Rate
The SBA reports that half of the portal’s 340,000 requests have full or partial forgiveness approval. This represents more than $ 2.4 billion for these borrowers.
The portal is for borrowers with less than $ 150,000, totaling 10,523,956 small businesses as of August 15, 2021. To date, there have been 4,988,220 submissions from these borrowers for 2020 and 2021.
Another breakdown shows that the smallest businesses or borrowers with less than $ 50,000 make up the largest percentage of all P3 loans. They represent 9,009,866 companies, but they are also the smallest group to request forgiveness. On the other hand, borrowers between $ 50,001 and $ 149,999 represent $ 1,524,090 of borrowers. However, 65.3% of them, or 989,062, filed their pardon application.
If you are one of the 5,535,736 small businesses with a loan of less than $ 150,000, be sure to take advantage of the portal and apply today. There are also more funding opportunities to maintain your small business with SBA grants for underserved communities.