Mark Kohler breaks down SBA Control No. 5279, effective January 19, 2021. First-round SBA loans get three extra months of deferment starting February 1. Restaurants, hotels, and entertainment venues in certain NAICS codes qualify for up to eight months of relief, capped at $9,000 monthly, with no separate application needed.
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Foreign. The SBA basically kicked out a procedural guidance notice on all these SBA loan payments. And this guidance is. This procedural notice 5279 is 17 pages long. And it goes through all the different type of SBA loans and what, how they're treated with this payment procedure. Did you get the first round? Did you get the second round? How much is the loan payment? How many loans per business? So it's, it's quite evolved. So I'm going to just say this. It became effective January 19th. I mean, this is just in the last week. I would recommend any of you listening that have a pen or paper handy, please search for this at the SBA website is control number 5279. And if you have an SBA loan, it's not written in foreign language, it's a little wordy, but if you're a business owner getting an SBA loan, this, you can handle it. Open this up and find out where your loan falls in all this. I'm just going to summarize it right now then, Matt, because I don't want to get too far down this rabbit hole. But basically, if you'd got the first round of SBA loan payments of six months, that means your loan was affected before March 27, 2020. You're now allowed to get three more months. So as Matt said, that starts February 1. That's pretty much across the board. But you could look at the details here. You're only allowed to get.
Okay, how much can you get? Is it like, up to, like, nine grand?
Up to nine grand?
Up to nine grand.
And it's only one loan per entity. So Matt and I have an LLC that owns a building with one SBA loan, and we have another LLC with an SBA loan that owns another building. As we talked about owning your commercial buildings, you're in. We can get that deferment or that payment made for both of those LLCs. But if we had two SBA loans in one entity, and the second round, it's only allowed for one loan per entity. Next, if you got a new loan Approved, both after March 27th but before September 27th, so you ran out there and got an SBA loan. We're not talking about an EIDL loan or PPP loan. PPP loan. We're talking about just a 504.7A type loan. You can get up to six months. So you can get the six months. You're like, well, I missed the six month one because my loan wasn't in place yet. Well, now it's in place, you can get the full six months. Only those that got the first six months get three months. Then the final kicker is for those of a certain code, an NAICS code, that's a national industry code. If any of you have that national industry code, you can get an additional five months and that is a big deal. So you can get these payments up to $9,000 per month. Now these codes, there's six code 61, code 71, code 72, 213. That's that little code you put on your tax return as to what type of business you are. Now you can. I just googled that list and I went to the census.gov NAICS list and. But you've got to kind of go code by code. I'm going to tell you what I saw from this was things like restaurants, entertainment venues, hotels, accommodations. So anything in that realm, if you're close to that and you're in one of those industries picked on it might be salons, you know, things like that. So go look up those codes and you can get up to eight months. Anything you want to add to that? I mean it is a big.
Yeah, I mean it's automatic for what we saw last round. So it's going to been told it's going to be automatic too. So it's not something you apply for. And also, I'll say this is not ppp, okay? This is not the PPP loan you may have got that is SBA related. This is the regular, you know, standard SBA loans we had before PPP came around to buy a business or buy some property or expand your business. Those regular SBA loans that are out there.
