Episode 54: All You Need To Know About SBA Loans with Dominique Broadway

I wanted to sit down and discuss something that has been at the forefront of everyone's minds right now: economic relief during COVID- 19. I thought it was so important to get knowledge from an expert in financial planning, which is why I'm sitting down today to talk with Dominique Broadway founder of Finances DE-MYS-TI-FIED, on what exactly the SBA Loans are and how they can help small businesses. We're going over what the Paycheck Protection Program is (and who can apply for it), what the EIDL Loans are (and that highly talked about $10,000 grant associated with them), as well as, all the burning questions our community has had on each of these loans.

Things we talk about:

• The changes to several Small Business Association Loans under the Cares Act
• What the EIDL loans are and the potential grant associated with them
• The Paycheck Protection Program and what it's all about
• The differences between each of the programs and loans
• What the application processes look like for each
• How long it could take to see some economic relief

Here are a few quotes:

• “The Paycheck Protection Program is exactly what it says, a paycheck to protect people's paychecks. It allows you as an employer or as a self-employed individual to continue to pay yourself and continue to pay your employees during this time. So that's basically the difference between the two." - Dominique Broadway on the difference between the PPP and the EIDL Program

• “I know some of these numbers have been changing day to day, so it's kinda hard to keep up. But right now they're providing up to $2 million of financial assistance. So. Essentially that loan program is for you to kind of get working capital to keep your business going, to cover all of your various expenses." - Dominique Broadway on the EIDL Program
• "They have a list of like five different things you should be using it for, rent, uh, paying employees, paying utilities, those types of things. Really just to keep, the business viability intact. You have to prove that you used it for that. And if it shows that you did not, then you would have to pay it back." - Dominique Broadway on the EDL Program
• “Small businesses are going to have to work with a smaller workforce to kind of pick up the pieces for the, you know, the demand of their business isn't going to be as high as what it was in February. So. I think it can be forgiven. But the caveat here, I think is this is going to change significantly and this is what lawmakers are kind of working with right now." - Dominique Broadway on the PPP
• “And that is why you can. Take 2.5 times your average monthly roll, but you might not need to. Yeah. So only take what you need and what you, for most people, they're like, Oh, this is going to be forgiven. Okay. But there's, you know, there are guidelines here on this loan and the forgiveability of the loan. So it is this eight-week formula that just keeps getting spewed around in all of these forums." - Dominique Broadway on the PPP
• "Please still make sure that you're reading through your loan contract. Excuse me, a loan contract and your loan agreement and you know, understand the specific terms and like still go through page by page." - Paige Griffith

Links mentioned:

• Follow Dominique on Instagram
• Visit Dominique's website
• Lendio
• Fundera
• The Legal Paige Shop