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1. 441 4th Street, NW, Suite 850N Washington, DC 20001 • www.dslbd.dc.gov
PPP & OTHER FUNDING OPTIONS
THROUGH THE SBA
FEBRUARY 11TH, 2020

2. 2
Updates to PPP, EIDL, SBA and
Other Programs
Presented by: Rod Johnson
Date: February 5, 2021

3. 3
About the Presenter
3
Roderick Johnson is a Lender Relations Specialist with the
Small Business Administration. Rod has over 30 years of
experience lending to small, middle market and large
corporate businesses. He has an MS in Financial Management
and his motto is: I burst open the banks’ vault doors for local,
growing and profitable businesses.

4. 4
PPP 2.0 (Second Round) – Who Qualifies
If you have an existing PPP Loan, then you must have spent your PPP 1.0 money before
obtaining PPP 2.0. The bank may want you to submit PPP 1.0 Loan for forgiveness before
second draw – make sure you are ready per new forgiveness application form
If you have never received a PPP Loan, then you can apply for the current PPP Loan per original
rules – no more than 500 employees / up to $ 10 Million Loan Amount
New PPP Applicants – “First Draw”
Businesses and Non Profits with 300 or fewer employees can borrow up to $ 2 Million provided you
can demonstrate a 25% or greater decline in Gross Revenues during any one quarterly period in
2020 compared to the same quarter in 2019
PPP 1.0 Loan Still Open
Key Qualification for “Second Draw”

5. 5
PPP 2.0 - Loan Amount
2.5 times your monthly average payroll in 2019 or 2020. If self-employed, Profits per Line 31 on
Schedule C divided by 12 x 2.5 for either 2019 or 2020. Choose the higher of the two calculations.
Use same lender and 2019 for Second Draw – Reduces documentation requirement.
Loan Amount - Same Calculation as PPP 1.0
Payroll Cost – Slightly Expanded
Same as before: Gross Pay for U.S. Residents up to $ 100,000 for the year + Employer Share of
Insurance which includes Health, Dental, Vision, Disability and Life + Employer Share of
Retirement + State Unemployment.
Year to Date Payroll for 2020
Empl Gross Ceiling @ Health Retirement Disab State Total Payroll
No Pay $100,000 Insurance Plan and Life Unempl Cost for PPP
3 122,300
$ 100,000
$ 5,449
$ 589
$ 335
$ 3,980
$ 110,353
$
5 86,400
$ 86,400
$ 4,620
$ 497
$ 290
$ 3,488
$ 95,295
$
6 92,400
$ 92,400
$ 5,040
$ 552
$ 309
$ 3,645
$ 101,946
$
Total Payroll Cost 307,594
$
Monthly Average 12 25,633
$
Multiply by 2.5 = Loan Amount 64,082
$
New with
PPP 2.0

6. 6
PPP 2.0 – NAICS Code 72 = 3.5
• If your business has a NAICS Code that begins with 72, PPP Loan is 3.5 and not 2.5 in calculating
the loan amount. Easy Calc – Take PPP 1.0 Loan Amount / 2.5 x 3.5 = PPP 2.0 Loan Amount
• Your 2019 business tax return should reflect the NAICS Code that you should follow

7. 7
Non Payroll Expense Expanded for PPP 2.0
Same as Before: Must use 60% or more on Payroll to obtain 100% Loan Forgiveness. The 40% Non
Payroll Expenses (Rent, Utilities and Mortgage Interest) has been expanded to include the following:
• Business software or cloud
computing service that facilitates
business operations such as
payroll, inventory tracking,
accounting, sales, etc.
Operating Expenses
Property Damage Costs
• Business property damaged by
looting, vandalism or public
disturbances in 2020 that were
not covered by insurance or other
sources
Supply Expenses
• Operating or Capital expenses
required to comply with COVID-19
government mandates including:
Renovations, New Drive Thru,
New Barriers, New Outdoor
Space, Sneeze Guards, Deep
Cleaning, COVID-19 Testing,
Protective Gear, and other
protective measures directly
associated with protecting
workers and / or customers
Worker Protection Expenses
If you submitted your PPP 1.0 Loan for
forgiveness, you CANNOT go back and
change the expenses – Banks must begin
processing new PPP 2.0 applications. If
you have not submitted for forgiveness,
you can go back and use funds retro-
actively for new qualified expenses.
• Expenses for core operational
supplies such as materials to make
products or restock depleted
inventories pursuant to contracts /
purchase orders in effect before
the loan.

8. 8
Other Changes for PPP 2.0 (Second Round)
Tax Clarification
Forgiveness of Loan is not reported as taxable income and you can deduct the expenses paid using
PPP loan money on your business tax return.
Improvements for PPP Forgiveness
For loans of $ 150,000 or less, new one-page form can be submitted. Still need to compile and
maintain documentation and certify that you used the loan in accordance with the requirements of
the PPP program. Documentation includes 25% quarterly drop in Gross Revenues.
EIDL Advance will not be deducted from your Forgiveness Amount
Flexible End Date
Loan Coverage Period can end on any date after the loan origination date between 8 to 24 weeks.
PPP 1.0 Loan Coverage Period can extend through March 31, 2021

9. 9
PPP 2.0 – Eligibility Changes & Documentation
• 501(c)(6) [NFL, AMA, ABA, etc.] and Destination Marketing Organizations [Gov’t Tourism Bureaus] can get a
PPP Loan provided that they meet certain restrictions related to lobbying activity.
• Newspapers, TV, Radio, and public broadcasters are now eligible for PPP Loans provided that they
are distributing locally focused emergency content.
• Businesses before a Bankruptcy Court can potentially obtain a “first draw” PPP Loan. The PPP Loan
must be elevated in relation to other outstanding claims so that the PPP loan supersedes almost
every other claim. The business should not be permanently shut down.
Calculation
Loan Amount
$ 150,000 or less
Loan Amount
over $ 150,000
25% drop in Revenues for one
quarter (Second Draw)
Provide financials, banks
statements, sales reports, . .
on 25% drop in Revenues at
time of Loan Forgiveness
Provide financials, banks
statements, sales reports, . .
on 25% drop in Revenues at
time of Loan Application
Loan Amount Provide Payroll Reports
(Employers) / Schedule C (Self
Employed) at time of Loan
Application
Provide Payroll Reports
(Employers) / Schedule C (Self
Employed) at time of Loan
Application
Interim Final Rule
released on 1-6-2021
defines documentation
requirements related to
qualifying for Second
Draw and Loan Amount

10. 10
PPP 2.0 – Targeted Loans
First-Come, First Serve lending practices under both the PPP and EIDL Loan Programs prevented
businesses in under-served communities from obtaining these loans. To correct this issue, PPP 2.0
has two set-asides:
• Businesses with 10 or fewer employees located in a mid-low income area who never received a
PPP Loan - $ 15 Billion
• Businesses with 10 or fewer employees located in a mid-low income area who did get a PPP
Loan and now want to get a second draw (PPP 2.0) - $ 25 Billion
• Maximum Loan Amount is $ 250,000
• SBA may ask for verification of your identity before issuing the grant
• Lenders in under-served communities include small community banks, small credit unions,
community development financial institutions (CDFIs), certified development companies (CDCs),
minority depository institutions (MDIs), and SBA Microloan intermediaries (non profits)

11. 11
PPP Loan Application
1 – Recommend using the first
year the business filed a
business tax return
2 – Recommend using the six
digit code per your 2019 tax
return
3 – Recommend everyone check
Payroll Costs including Self
Employed (pay yourself)
See example – bottom of slide 5
1
2
3
25,633 64,082 3
First Draw Application Form > https://www.sba.gov/document/sba-form-2483-paycheck-protection-
program-borrower-application-form | Second Draw Application Form >
https://www.sba.gov/document/sba-form-2483-sd-ppp-second-draw-borrower-application-form

12. 12
PPP 2.0 – Apply By March 31, 2021
https://www.bluevine.com/paycheck-protection-
program/
https://www.fundingcircle.com/us/
https://www.lendio.com/covid-relief/sba-paycheck-
protection-program-loans/
https://app.nav.com/paycheck-protection-program-form
https://www.reliantfunding.com/ppp/
If you qualify for PPP 2.0, Apply with your existing bank. If they elect not to
participate, find another bank – get a list of top PPP lenders in your area:
https://www.sbalenders.com/
These Fin Tech Lenders have indicated they will issue PPP 2.0 Loans
https://www.biz2credit.com/
https://www.sba.gov/document/support-
paycheck-protection-program-
participating-lenders
SBA List of Lenders

13. 13
EIDL Loan Program Extended thru Dec 31, 2021
https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/economic-injury-disaster-loans
Similar to PPP, Economic Injury Disaster Loans are now available for those who did not get the loan
• 30 Year Term Loan at 3.75% (2.75% for Non Profits)
• Unlike PPP, this is NOT a forgivable loan
• Unlike PPP, more flexibility with expenses – all recurring
operating expenses including regular payments for loans,
insurance payments, maintenance, rent, license fees,
payroll, utilities, office cleaning, etc.
• Business is located in the USA with less than 500
employees and needs operating funds to offset the
negative impacts from COVID-19
• Loan amounts above $ 25,000 may require collateral
• Loan payments can be deferred for 12 months
• No penalties for pre-payments
• Amount of the Loan is typically determined by reviewing
the 2019 Gross Profits of the Business subject to a
maximum loan amount of $ 150,000
• Businesses with Existing EIDL Loans may request an
increase by email: pdcrecons@sba.gov with the word
“INCREASE” in the subject line
NOTE: If you already applied for EIDL, the Advance (Grant) is NOT
available. It is available on an emergency basis and for targeted businesses
NEW APPLICANTS

14. 14
EIDL Loan Grants for Low Income Communities
Businesses can qualify for the maximum EIDL Grant if they meet two qualifications:
Qualify per Location Qualify per Drop in Gross Revenues
Business is located in a Census Tract where
20% or more of the population lives in poverty
OR the Median Family Income is 80% or less of
the State-Wide or Metro Area Median Family
Income.
Go online (link below), enter address in tool bar,
click on the Census Demographic Data button
and click on Income tab and see if you can
meet the criteria above
https://geomap.ffiec.gov/FFIECGeocMap/
GeocodeMap1.aspx
Business had more than a 30% drop in Gross
Revenues as measured over an 8-week period
that falls between March 2, 2020 to December
31, 2021 when the program expires, compared
to same dates that fall between January 1,
2019 to March 1, 2020.
$ 10,000 Grant
SBA will issue a maximum grant amount of
$ 10,000 to the applicant. It is forgivable and
does not have to be paid back.
Section 331 of the Act – Targeted EIDL Advance

15. 15
Emergency EIDL Loan Grants
Businesses not in Low Income Communities may be eligible for an Emergency EIDL Grant:
• You received an EIDL Loan, but never received the grant
• You qualify for EIDL, but never applied for either the loan or the grant
• SBA reserves the right to make sure you qualify and verify your identity
• Your application must be complete and accurate to qualify for the Emergency Grant
• SBA has 21 days to make payments under this program
• Similar to the Targeted Program, the total budget is limited to $ 20 Billion
Section 332 of the Act – Emergency EIDL Grants
NOTE: The information provided on this slide
and the previous slide is an interpretation of
the legislation subject to change. The SBA will
provide final guidance on the two EIDL Grant
Programs – Targeted and Emergency. This is
expected to be released mid-February 2021.
Similar to PPP Forgiveness, EIDL
grants are not reported as taxable
income on the business tax return

16. 16
SBA Debt Relief Program is Extended to 9/30/2021
• Applies to Micro Loans, 7(a) and 504 Loans - Summarized below:
Section 325 of the Act – Extension of Debt Relief Programs
• Provides Operating Capital
• Short Term Loans 6 years or less
• Small Loans $ 50,000 or less
• Issued to Under-Served Areas
• Issued by Non Profit Lenders
• Technical Assistance Grants are
also available
Micro Loans 7 a Loans 504 Loans
• Wide range of uses – operations,
new assets, startup, etc.
• 10 year term for Operations, can
be longer for asset acquisitions
• Issued by SBA participating banks
• Loan amounts can exceed $ 2
million
• Focused on major assets such as
buildings, equipment
• 10 year term for Equipment, 20
years for Real Estate
• Can be used to re-finance long
term loans
• Loan amounts up to $ 5 Million
• Debt Relief = SBA pays your loan payments for 3 Months (Existing Loan) or 6 Months (New Loan)
• Not taxable to the business
https://www.sba.gov/funding-programs/loans
A good place to start

17. 17
SBA Debt Relief Program - continued
• Effective 2-1-2021; new loans must be approved before 9-30-2021
• Borrowers with existing loans are automatically enrolled
• Five (5) Additional Months Available (8 Months): Existing loans for NAICS Codes 61, 71, 72, 213,
232, 315, 448, 451, 481, 485, 487, 511, 512, 515, 532 and 812 | Dis-Advantaged Communities
• Monthly loan payment relief is capped at $ 9,000 per month
• Loan guarantee in the 7a Loan Program is increased to 90% and increased from 50% to 75% for
Express Loans less than $ 350,000 – Banks have more of an incentive to issue loans
• Maximum Express loan amount increased from $ 350,000 to $ 1,000,000
• 504 Loans can be used to re-finance real estate owned by the business with no loan fees
• SBA will launch new 504 Express Loan Program with experienced lenders
• Payment deferral relief is also available for 7(a) loans up to one-year [Section 334 of the Act]
Section 325 of the Act – Extension of Debt Relief Programs

18. 18
SBA Grant Program for Live Event Operators
• Live Event Operators include Movie Theaters, Concert Halls, Jazz Clubs, Broadway Play Venues,
Comedy Clubs, Museums or other venues that charge ticket admissions for an event.
• Must have been operational on February 29, 2020 with less than 500 full time employees AND
experienced a 25% reduction in revenues in at least one quarter in 2020
• Grant amount is 45% of 2019 annual revenues if existed before 2019 OR 6 months of average
revenues in 2019 if existed after 1-1-2019
• Cannot have received PPP Loan after 12-26-2020
• Grant money is used same as PPP, but can include marketing, ads, staging, and other event costs
• Fixed Coverage Period of March 1, 2021 to December 31, 2021
• Supplemental Grants will be available to extend through June 30, 2022 @ 50% of initial grant
NOTE: SBA refers to this program as SVOG – Shuttered Venue Operators Grant. Others call it SOS –
Save our Stages. You can ask a question about eligibility by submitting an email to: SVOGrant@sba.gov
Section 324 of the Act – Grants for Shuttered Venue Operators
https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/shuttered-venue-operators-grant

19. 19
Cross Reference to the Act (PDF Page Numbers)
This webinar includes a PDF copy of the actual legislation. Search this PDF document by the
following PDF page numbers to read important sections:
Page Topic
2004 PPPTaxTreatment
2009 EIDLTaxTreatment
2046 Expanded Expenses for PPP
2055 PPP Loan Coverage Period
2056 Simplified PPP Forgiveness
2061 New Definition of Group Insurance for PPP
2064 PPP 2.0 Section Begins
2067 New Entity in Q4 2019
2072 New Entity after 2-15-2020
2079 Documentation – 25% Drop in Revenues
Page Topic
2093 Seasonal Employer Defined
2095 News Organizations
2098 NAICS 5151 Organizations
2100 501(c)6 / Destination Mktg Organizations
2106 PPP for Bankrupt Business
2124 Grants for Live Event Operators
2153 Extension of Debt Relief Program
2164 Changes to 7(a) Loan Program
2178 Micro Loan Program
2184 Targeted EIDL Grants

20. 20
Additional Help
SBA Disaster Customer Service Center
(M-F 8:00am to 8:00pm, Sat/Sun 8:00am to
5:00pm Eastern Time)
Phone: 1-800-659-2955
E-mail: disastercustomerservice@sba.gov
TTY: 1-800-877-8339
https://www.sba.gov/funding-
programs/loans/coronavirus-relief-options
SBA Information – All Programs (PPP,
EIDL, Debt Relief, etc.)
SBA Partner Resource Centers
• Small Business Development Center and
Women’s Business Center
• SCORE
https://covid-sb.org/
https://www.score.org/recovery/small-
business-resilience

21. 21
Some Final Points
• SCORE PPP 2.0 Fact Sheet / Instructions
• SCORE EIDL / SBA Program Updates
• Consolidated Appropriations Act of 2021
• Do business with recognized lenders only –
avoid someone who claims they can get your
loan approved faster
• Do not provide sensitive information (account
number, social security number, etc.) to
someone you do not recognize
• Avoid opening emails from an address that is not
“.gov” or from your approved PPP lender
• Any request for up-front money (application fee)
is a potential scam
• Your approval is guaranteed is also a potential
scam
Avoid Scams
Webinar Handouts
https://www.sba.gov/document/report-sba-
programs-scams-fraud-alerts

22. 22
Appendix Slide - Budget Breakdown
Program PPP 1st Draw PPP 2nd Draw Grants SBA
CDFI Lenders (1) < - - - $ 15 Billion - - - >
Small Banks / Credit Unions (1) < - - - $ 15 Billion - - - >
Low Income Communities – PPP Set Aside $ 15 Billion $ 25 Billion
Overall PPP Program – All Applicants $ 147 Billion $ 137 Billion
Targeted EIDL Grant Program (1) $ 20 Billion
Emergency EIDL Grant Program $ 20 Billion
ShutteredVenue Operators Grant (SVOG) $ 15 Billion
SBA 7(a) Debt Relief Program $ 3.5 Billion
SBA Lending Enhancements (2) $ 2 Billion
Proposed – New Administration (3) $ 15 Billion $ 35 Billion
(1): Lenders and Programs have a focus on serving lower income communities
(2): Enhancements include increased funding for Micro Loans and new 504 Express Loan Program
(3): Small Business Task Force with new administration has proposed new programs for small businesses

23. 23

24. DSLBD Presentation
Business & Financial Management Strategies:
COVID-19 Environment
Links To Additional Resources
• dslbd.dc.gov District of Columbia Small & Local Business Development
• www.sba.gov/dc Small Business Administration, DC District Office
• www.score.org Network of Volunteer Expert Business Mentors
• coronavirus.dc.gov District of Columbia Corona Virus Updates
• www.aicpa.org American Institute of Certified Public Accountants
• www.dcchamber.org District of Columbia Chamber of Commerce
• www.usblackchamber.org U.S. Black Chamber
• www.wacif.org Washington Area Community Investment Fund
• www.dcsbdc.org DC Small Business Development Center (Howard
University)
• disb.dc.gov Department of Insurance, Securities & Banking
• www.gwhcc.org Greater Washington Hispanic Chamber of Commerce

25. DSLBD Presentation
441 4th Street, NW, Suite 850N Washington, DC 20001 • www.dslbd.dc.gov
PPP & OTHER FUNDING OPTIONS
THROUGH THE SBA
FEBRUARY 11TH, 2020