The Paycheck Protection Program (PPP) launched Friday, and will offer some relief to small businesses throughout Indiana.
Indiana bankers warn Hoosiers that the application volume will be extremely high, and to be patient.
“Sheer volume won’t be the only reason the program will take time,” said Indiana Bankers Association president and CEO Amber Van Til. “Financial institutions are in the process of reviewing guidance released late Thursday evening from federal agencies and regulators as they prepare to counsel their customers on the Paycheck Protection Program. Even with the latest guidance, the emergency program remains unclear with less than 12 hours before the program is scheduled to begin.”
The IBA recommends small businesses do the following right now, as they wait for their application to be processed:
- Talk to your lender. If you are experiencing or expect to experience cash flow problems, contacting your lender is the critical first step.
- Plan for the next 3-6 months. Look ahead, both in terms of a potential lengthening of the pandemic and also in how you will handle recovery and re-opening of the business if you are currently closed.
- Be ready to produce required information for your application.
- Don’t panic and draw on lines of credit unnecessarily. The IBA recommends keeping lines of credit intact until you absolutely need to access them.
- Have patience.