Small businesses are applying for PPP Loans, and they can still get factoring. In fact, it’s easier. There have been new rules with the Paycheck Protection Program, and there is a second draw of PPP loans available to business owners. We encourage businesses that need the PPP assistance to apply, and we offer invoice factoring that can work alongside PPP loans to support your business.
PPP Loans Open to Businesses with Fewer than 20 Employees
From February 22 to March 9, 2021, PPP loan applications are reserved for small businesses with fewer than 20 employees. This two-week period is to improve access to PPP loans for smaller small businesses. The new White House administration intends to improve access to PPP loans by removing some rules that prevented small business owners from previously applying to the program. More information on the PPP rules can be found here.
These rule changes come along with other criteria that may exclude some businesses from a second draw PPP loan. The good news is that small business owners can apply for invoice factoring in addition to PPP loans. Our factoring services at Eagle Business Credit can work alongside PPP loans to help small business owners improve their cash flow.
PPP Loans and Invoice Factoring
Factoring services improve cash flow by paying immediately for your outstanding receivables. This could mean being able to meet payroll or order more supplies while waiting to collect on your sales. You will have the money on hand to continue selling and bringing money into your business.
More Funding with PPP Loans
Qualifying for invoice factoring is simple. If you sell B2B on credit terms, then you probably qualify for invoice factoring. Approval decisions are not based on your business or personal credit. You do not need a lengthy time in business to qualify, and you are eligible for factoring regardless of how big or small your business is. Approval decisions are based on the strength of your receivable.