The U.S. Small Business Administration announced late Wednesday that it is opening a new Paycheck Protection Program Direct Forgiveness Portal to streamline the forgiveness process for 6.5 million businesses with PPP loans of $150,000 or less.
On Aug. 4, the portal will begin accepting applications from borrowers that have a PPP loan with a lender that has opted into the forgiveness portal. (Lenders can opt in here.)
In the Atlantic Region in 2020 and 2021, the SBA made 1.15 million PPP loans valued at $90.18 billion.
In New Jersey, it broke down as follows:
- 2020: 157,405 loans totaling $17,360,085,952;
- 2021: 153,261 loans, totaling $8,412,871,701.
Bernard Paprocki, the SBA acting regional administrator, said the portal is much needed.
“The SBA is making the forgiveness process more efficient for small businesses so they can recover more fully, get back on track and grow,” he said.
“The largest segment of Paycheck Protection Program loans awaiting forgiveness in the Atlantic Region are $150,000 or less. Small businesses and nonprofits with a PPP loan through a lender that opts into this portal will be able to apply for forgiveness through this easier method.”
SBA Administrator Isabel Casillas Guzman said the portal is meant to help those with smaller staffs.
“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,” she said.
“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.”
The SBA also is standing up a PPP customer service team to answer questions and directly assist borrowers with their forgiveness applications. Borrowers needing assistance or with questions can call 877-552-2692, Monday to Friday, 8 a.m.-8 p.m.