FAQs, covid stimulus, ppp, eidl, stimulus check
By: camino-financial
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COVID Stimulus: Frequently Asked Questions

At Camino Financial, we’re always working to help you and bring you up-to-date information on the topics that matter most to you. In this article, you’ll find the most frequently asked questions about COVID stimulus programs.

This article will be constantly updated to add more questions or new information.

Last updated: January 20, 2021

FAQs

PPP FAQs

I only have an ITIN, do I qualify for SBA aid?

It depends. Technically, ITIN-holders or non-permanent residents are not eligible yet.

It is important to note that there have been some ITIN-holders that have received support.

Some banks have their own application (different from the SBA’s). These banks can sometimes include the ITIN in the PPP application. The best thing you can do is to try to apply with a local CDFI because their priority is to serve small businesses.

Where can I find the PPP application?

If you received a PPP in the first round (this would be your second loan): PPP Second Draw Borrower Application Form

If you didn’t get a PPP in the first round (this would be your first loan): PPP First Draw Borrower Application Form

Who qualifies for a PPP Loan?

Any small business may be eligible (see the next question regarding the number of employees). This includes S corporations, C corporations, LLCs, private nonprofits, faith-based organizations, tribal groups, and veteran groups.

How many employees do I need to have to apply for a PPP?

It depends on if you already received a PPP.

If you received a PPP in the first round (second draw), you need to have 300 employees or less.

If you didn’t get a PPP in the first round (first draw), you need to:

  • have 500 employees or less
  • if you have more than 500 employees, you can still apply if you satisfy the existing regulatory definition of a “small business” (see next question)

Are small business concerns (as defined in section 3 of the Small Business Act, 15 U.S.C. 632) required to have 500 or fewer employees to be eligible borrowers in the PPP?

No.

Small business concerns can be eligible borrowers even if they have more than 500 employees, as long as they satisfy the existing statutory and regulatory definition of a “small business concern” under section 3 of the Small Business Act, 15 U.S.C. 632. A business can qualify if it meets the SBA employee-based or revenue.

If I don’t have any employees, can I apply for the PPP?

Yes.

But, since you have no employees, you won’t report your payroll costs for the PPP loan application. Instead, you’ll report your net business income, which will be reported on Schedule C. As a result, because your PPP was not used for payroll costs and other qualified costs, it will not be forgiven.

Do I qualify for a PPP if I opened my business last year in June?

New businesses must have been up and running before February 15, 2020, to be eligible. Seasonal businesses can apply based on average monthly payroll costs for any 12-week period between February 15, 2019, and February 15, 2020.

Do I need to do my 2020 taxes to apply for the PPP?

No, it is not necessary. The required documentation includes the 2018 and 2019 tax declarations.

Can you apply for a PPP and an EIDL at the same time?

Yes, you can. 

Applications for the Second Round of the PPP are already open.

Can you apply for a second PPP or is it not recommended?

YES, you should! Keep in mind that, this second round has changes that will allow you to make more forgivable expenses.

If I applied during the First Round and wasn’t approved, can I reapply for the Second Round?

Yes. Even those who already had a PPP in the First Round can apply for a second loan. 

Can I submit my application to the same bank where I applied last year?

Yes, the bank where you applied for the PPP for the first round will accept applications again.

Where can I get help to complete the application?

A good option is to ask your accountant for help since he knows your numbers better than anyone. But keep in mind that they may charge you for offering this service (compared to applying directly with the bank, where you will not have to pay).

Another good option is to contact a Small Business Development Center: these institutions are prepared to give you the technical assistance you need and will help you complete the application for FREE.

How can I make my loan forgivable?

First Draw PPP Loans made to eligible borrowers qualify for full loan forgiveness under specific guidelines. If you want to learn more about first and second draw PPP loan forgiveness terms, we recommend visiting the SBA’s site: https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program/ppp-loan-forgiveness

Can I receive a PPP if I’m already receiving PUA (Pandemic Unemployment Assistance) benefits?

You can receive both, but not at the same time. 

Why? 

The PPP is a loan to help with payroll, and unemployment is a benefit for when you don’t receive payroll. 

We recommend you stay only with the benefit which offers you the most capital. 

I have a business without employees, but I did have an income, can I apply for the PPP?

This probably means that you are a sole proprietor, in this case, you do qualify for PPP. But the money you receive will depend on the net income that your company generates per month multiplied by 2.5 (or 3.5 if it is a restaurant).

If I have not used all the money from my first PPP, can I apply for a second one?

If you still have money from the first PPP, you won’t qualify for a new one.

EIDL FAQs

Where can I find the EIDL application?

Click here to go to the application. 

Can I apply for the EIDL with an ITIN or if I’m a non-permanent resident?

No, ITIN-holders or non-permanent residents are not eligible yet. But, in some cases, people with an ITIN receive support. The best thing you can do is to try to apply with a local CDFI because their priority is to serve small businesses.

Can you apply for a PPP and an EIDL at the same time?

Yes, you can. 

If I applied during the First Round and wasn’t approved, can I reapply for the Second Round?

For the EIDL, no information on a second support yet.

We encourage you to review this SBA document with more information about the EIDL.

Other Relief Options FAQs

How do I apply for the IRS stimulus check ($600 USD)?

Enter the IRS page, get my payment, and follow the steps.

Camino Financial and stimulus programs – FAQs

Does Camino have a hotline to fill out the application?

No, we only share official information from the SBA. However, we have an article hub with all the information you need on how to prepare and apply for the EIDL and PPP. 

COVID-19: Small Business Resources, coronavirus, Camino financial

COVID-19: Small Business Resources

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