Business owners struggling to ready applications round 2 of Paycheck Protection Program

Business owners like Jim Dragoni are desperate.

With the second round of Paycheck Protection loans coming, he wants to make sure his application is ready.

I’m exasperated, I don’t know what to do,” he said.

He owns the Cape Auto Clinic and, like other small businesses, it’s taking a hit.

But when he applied for a PPP loan, he says his bank notified him that the payroll tax form he provided wasn’t enough.

“So what proves your payroll besides a payroll tax return? I don’t know,” he said.

Dragoni says he both emailed and called his bank with no luck. He says he also tried the Small Business Administration, who referred him back to the bank.

I figured that push come to shove, this would save our business. Right now I don’t know,” he said.

Bryan Simmering is with First Horizon Bank. While Dragoni is not his customer, he has advice for owners looking to apply.

First, see if your bank offers a document checklist.

The checklist will provide the information that they need to apply for the loan,” Simmering said.

Then, double-check your payroll calculation because there’s a $100,000 salary cap.

“If they have, let’s say, for example, an employee that’s making $125,000 a year and they use $125,000 for the calculation—that application is going to be incorrect when it gets verified,” Simmering said.

The SBA also says they’re offering live Q&A sessions online for people who still have questions. The next Q&A session is April 24 and registration is required.

After WINK contacted his bank, Dragoni says they reached out and that his application is now good to go.

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