How many loan applications did your organization complete?
In 2020, we assisted 305 businesses obtain Paycheck Protection Program loans, totaling $27.8 million, with 145 of those application and $8.8 million being originated out of our Beloit and Roscoe Banking Centers. To this point in 2021, we have originated an additional 90 PPP loans, totaling $6.45 million, and we still have more customers who have indicated their intent to apply yet.
What obstacles did you run into when completing applications?
We really run into one or two things most of the time, the first is incomplete applications and documentation being submitted by borrowers. We are always happy to help work through both of those issues with the borrower, but it does delay getting their request submitted to the SBA. However, we are happy to say that to this point we have been able to eventually get complete packages from all eligible borrowers who have worked with us, and we have been able to get them submitted to and approved by the SBA.
The other issue we run into is the submission process to the SBA. In 2020, it was new to everyone, and rolled out as quick as possible so there were glitches and issues that came up and had to be worked through. Things are not perfect when submitting applications here in 2021, but they are much better.
We are still finding at times there are items we have to work through with the SBA to get a loan approved, but it seems to be better than last year.
Share any other insight, data, or information you feel would be helpful to the business community.
We encourage people to look at the PPP program, and really check to see if you qualify. The SBA changed a couple of the loan calculations, and some people are finding out they qualify now when they didn’t last year, especially in the ag industry. Not only do we have borrowers coming back for a Second Draw PPP loan this year, but we have a number of First Draw PPP loans.
Some businesses didn’t feel they needed the help last spring, but as the pandemic continues to go on it is something they have decided would be helpful. We would encourage everyone to see if they are eligible for a First Draw or Second Draw PPP loan. The program isn’t as rushed this year, through Wednesday (Jan. 27th) only $35 billion of the $284 billion allocated to the program had been used according to the Wisconsin Bankers Association.