Be prepared to apply for the SBA Paycheck Protection Program Loan

SBA Paycheck Protection Program Loan

  1. All businesses – including nonprofits, veterans organizations, tribal, sole props with 500 or fewer employees
  2. No minimum credit score or collateral required
  3. All payments are deferred for 6 months
  4. The loan can be used for payroll, interest on a mortgage, rent, and utilities
  5. Loan amount up to $10 million

Apply Now >

SBA Economic Injury Disaster Loan

  1. All sole-proprietors/small businesses under 500 employees eligible
  2. Interest rates up to 3.75% for companies and 2.75% for non-profits
  3. Principal and interest deferment for up to 4 years
  4. Can be used for working capital
  5. Loan amount up to $2 million

Learn more and apply

AT BitX Funding We Say Yes!

Low Rates  / Transparent Terms.
Fixed Monthly Payments.
This Is Only For:
Mid-Term Business Loans
Short-Term Business Loans
Business Lines of Credit
Startup Business Loans

BitX Offers Multiple Options To Fit Your Business Needs

Mid-Terms Loan

Loan Amount
$25k to $500KApply Now

Short-Term Loan

Loan Amount
$5k to $250KApply Now

Business Line of Credit

Loan Amount
$5k to $250KApply Now

Revolving Line of Credit

Loan Amount
$5k to $250KApply Now

Minimum Requirments

To pre-qualify for a loan with BitX Funding, you must have been in business for at least 1 years, FICO score of at least 650+ and or startups welcome.

  • TIME IN BUSINESS 1 YEARS
  • MINIMUM FICO SCORE 650
  • BUSINESS TAX RETURNS
    1 YEARS
  • PERSONAL TAX RETURNS
    1 YEARS

Compare our loans with other online lenders

BitX Funding Online Lenders
Loan Size5k to 5MM2k to $500k
APR6.75% to 30%9% to 99%
Origination FeeUp to 10%Up to 15%
Repayment TermsUp to 20 years6 to 60 months
Repayment ScheduleDaily, weekly, monthly paymentsDaily or weekly

Who Qualifies for a Paycheck Protection Program Loan?

In order to qualify for a PPP loan, you must be a small business (including nonprofits, veterans organizations, Tribal concerns, sole proprietorships, self-employed individuals, and independent contractors) with 500 or fewer employees, or no greater than the number of employees set by the SBA as the size standard for certain industries.
Your business must have been operational by February 15, 2020. The “covered period” for these loans will run from February 15 to June 30, 2020.

Paycheck Protection Program Loan Rates and Terms

Loans disbursed under this program will have the following terms:

  • Interest rate of 1%
  • Maturity of 2 years
  • First payment deferred for six months
  • No collateral
  • No personal guarantees
  • No borrower or lender fees payable to SBA

Keep in mind: Business owners who take out these are eligible for loan forgiveness for the amount they spent on payroll costs, rent on a leasing agreement, payments on utilities, and additional wages to tipped employees.

That means your loan for these costs will essentially be converted into a grant.

You will need to demonstrate how you have used your funds to finance payroll and other eligible costs in order to receive loan forgiveness.

What do payroll costs mean? The following compensation is considered eligible payroll costs under this program:

  • Salary, wage, commissions, or similar compensations
  • Payment of cash tips or equivalent
  • Payment for sick, vacation, parental, family, or medical leave
  • Dismissal or separation allowance
  • Payments for group health care benefits, including insurance premiums
  • Payments for retirement benefits
  • Payments of state or local tax on employee compensation

Sole proprietors, independent contractors, and self-employed workers will also be able to take out a PPP loan for compensation or income that is not more than $100,000 in one year, as prorated for the covered period.

As for what payroll costs are not included: Compensation of an individual employee in excess of $100,000 annual salary; payroll taxes, railroad retirement taxes, and income taxes; compensating an employee that lives outside the U.S.; qualified sick leave or family leaves wages for which a credit is allowed under the Families First Coronavirus Response Act.

 

 

How Much Can I Borrow Through the Paycheck Protection Program?

The goal of this loan is to help businesses pay for their payroll and other overhead costs. Therefore, loan amounts can be up to 2.5x the business owner’s average monthly payroll costs, not exceeding $10 million.

For your loan to be forgiven by the SBA, you must maintain your payroll, or rehire the employees you laid off during the beginning weeks of the pandemic by June 30.

The amount of loan forgiveness will be lowered if you reduce workforce, or reduce wages paid to those employees by an amount greater than 25%.

The U.S. Chamber of Commerce created a helpful guide on how to calculate payroll costs and how loan forgiveness can be reduced.

Details of Paycheck Protection Program Loans

The Paycheck Protection Program was created and funded by legislation known as the CARES Act, which was signed into law on March 27 as part of phase three of the federal government’s response to the coronavirus pandemic.

The outbreak of the coronavirus across the U.S. has crippled millions of small businesses, forcing them to work under restrictions, with limited staff, and with virtually no foot traffic. These businesses are facing indefinite limitations and perhaps permanent closure if they are unable to make payroll, pay their rent, and meet other financial obligations.

Through the CARES Act, the SBA received $349 billion in funding that it used to finance loans made by thousands of SBA lenders across the country to those small businesses.

The SBA has long been known to small business owners as the best place to find low-cost financing on favorable terms. Even by those standards, PPP loans are exceptionally friendly to small business owners—since this pandemic has leveled small businesses across the board, through no fault of their own.