LINCOLN, Neb. (KOLN) — More than 80,000 Nebraska businesses have received PPP loans since last year and an extension signed into law on Tuesday means there’s still time to get federal funds to help them.
The PPP loan extension moves the application deadline from March 31 to May 31, giving eligible businesses an additional two months to use the program.
In the first draw for applications, Cornhusker Bank helped bring $53 million in PPP loans to Nebraska businesses. During the second draw, he made about 330 loans, for $21 million.
“You have to have the first draw before you have a second draw,” said David Shiffermiller, executive vice president of lending at Cornhusker Bank. “If you didn’t have a first draw, you must draw under the first program settings before you can draw on the second.”
According to the US Office of Personnel Management, Nebraska has had just over 80,600 PPP loans approved, in total, that’s about $4.7 billion.
The average PPP loan in Nebraska is around $58,468.
Second draw loans have a few more parameters to qualify than the first.
“Some economic downturn in your business due to these circumstances,” Shiffermiller said. “The second draw, there were additional requirements based on comparing 2020 financial results to 2019.”
Shiffermiller shared that on average, it would take a business owner about 10 minutes to complete an application.
In his experience, once it is processed, it only takes a few days for the money to reach a corporate bank account.
“It’s available until May 31, so if you have any questions, contact your financial institute,” Shiffermiller said. “We are not just accepting applications from our clients, but from anyone in the community.”
The extension also applies to the processing and authorization of these requests.
Which has been extended until the end of June.
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