The Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP) are included in the federal $2 trillion CARES Act. They are designed to help small businesses.
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Nellie Akalp is the CEO of CorpNet. Small Business Trends contacted her to find out more about what her company is doing for SMB’s.
Full Steam Ahead
She explained how they saw a need.
“Many entrepreneurs and small business owners are confused on what loans are available and how to apply,” she writes. “So, we’re busy moving full steam ahead learning the ins and outs of all options.
We started this because we felt there was a need for it due to a lot of questions and confusion coming from our small business community. We also need to stay in business as well through this, so it gives us a new revenue stream to stay afloat. Overall, the timing was perfect .”
Funding the Loan
The company charges a service fee of $349.00 for help with the EIDL. Assistance with the PPP is a little different. Akalp explains:
“When the loan is approved, CorpNet will receive its service fees from the approved lender who is funding it. “
That means there is no upfront cost to the client from CorpNet. The help sorting through what can be a bureaucratic maze to get the money can be daunting otherwise. Especially now when many small businesses are struggling just to keep the doors open.
There are some big advantages to what CorpNet is offering. Like the fact they work with lenders electronically. It’s a good end run to get in touch with overwhelmed banks.
“We understand banks are backlogged,” Akalp says adding they work with lenders specializing in SBA Paycheck Protection Program applications.
“You should get funding within 2-3 weeks, whereas most banks are taking longer and they will not process your application if you are not an existing client.”
The bank they use specializes in this process.
Solid Business Advice
Akalp also offers up some solid business advice to SMB’s in today’s COVID-19 climate. She says staying the course is important and small businesses should apply for any kind of relief or grants that are available.
“Be super cautious and diligent with where you are spending your money and get creative and flexible within your business. Don’t resist change,” she says. “This present climate may be the new normal for a long time so pivot where needed.”
Lending a Hand
Finally, she says CorpNet has only begun lending a hand.
“We are going to continue to provide resources, content and assistance to small business owners. This is only the beginning and we will continue to come out with other resources as we learn about them.”