the EIDL portal has finally been open this is a new opportunity for
business owners and landlords to apply for the EIDL economic injury disaster
loan which also comes with the free one thousand to ten thousand dollar grant
that you can receive from the ideal program so in this video I'm going to
explain what are the latest changes to the EIDL Loan program how to exactly
apply I'll show you the step-by-step and how you can get your free grant money of
one thousand to $10,000 from the emergency economic injury disaster loan
grant hey what's up you guys this is Sam Kwok hero in the Popular's and as you
know our channel has been following the SBA EIDL Loan program pretty closely
even to the point that we applied for the EIDL so that we can give you
guys a little sneak preview of what it's like to go through the process now
before we dive into explain how to apply for the EIDL loan and how you can get
your free one thousand to ten thousand dollar grant money be sure to subscribe
to our channel if you want the latest information and updates to SBA programs
EW I do love programs as well as investing in real estate okay so before
we move forward I want you guys to understand that the eid al loan program
is not the same thing as the PPP paycheck protection program these are
two separate programs though you can't apply for both but you cannot use the
funds for the same exact expense category the Paycheck protection program
is forgivable as long as you use 60% of the funds towards payroll costs and the
remaining 40% must go towards qualified expenses now with the EIDL program
it is not forgivable except for the part where you get the one thousand to ten
thousand dollar free grant money as part of the EIDL program now speaking of
which the Paycheck protection program did undergo through some major changes
last week with the Paycheck protection program flexibility Act if you guys want
to see the full breakdown of that I have a separate video where I'll leave that
down below where we can see the latest changes to the Paycheck protection
program now when it comes to the EIDL Loan and the EIDL one thousand and
ten thousand dollar grant they go through the same loan application same
paperwork but they are two separate things as well so you can accept the
1000 a ten thousand dollar grant but you can choose to decline
alone so to address this once and for all the great portion you get to keep
it's free you don't have to pay it back however the loan portion you do need to
pay it back with a certain term that's designated by the EIDL I'll show you
guys the rest of the details throughout this video so to get to free one
thousand to ten thousand dollar grant you must apply for the EIDL Loan but
again you can choose to not to take the loan portion but just keep the grant
portion for yourself alright so let me give you guys a full
breakdown in the process of how to apply for the EIDL Loan program as well as the
free 1010 thousand dollar grant what emails expect what documents you'll see
and how you know you got the 1000 through 10,000 dollar grant money from
the SBA EIDL grant program now remember the grant is given out to you
within three days of them checking your application and they ought to deposit
that into your bank account so you do need to give them three days and they
also check your credit so if your credit is frozen right now you do need to
unfreeze it so that the SBA can check your credit in the process of running
your application so that they can give you the advance grant of 1000 through
$10,000 SBA EIDL money now I personally applied back in March of 2020 and about
two weeks later they did pull my credit and check my application three days
following the credit pool I got the deposit of two thousand dollars of free
grant money from the SBA and then few weeks later they sent me an email saying
that I need to create an app or ttle for my loan portion which I did and upon
sending more information I got approved for up to one hundred and twenty
thousand dollars and again I'll give you the full breakdown on what you expect to
see when it comes to emails from the SBA okay so first thing first I'm gonna go
and leave the link to apply for the SBA EIDL loan program down below in the video
description this link comes from the SBA it's not originated from me but let me
go share my screen with you guys to show you exactly the steps on how to apply it
and just to remind you guys that I am NOT an attorney I am NOT an accountant
I'm not a financial planner so any interpretation of the EIDL loan program
are simply my opinion and my own personal interpretation now for those
that already applied for the SBA Eid loan program be sure to smash the like
button to show us that you already applied so let's go over to the
application right now and this is what the screen should look like if you see
any other screen it's probably a scam should probably run away from it but
this is the screen that you'll see when it comes to the spae ideal loan
application so you have some choices here it says the applicant is a business
with not more than 500 employees so that applies to most of you guys so it will
select whatever applies to you the best and obviously you know who you are so
for me I'm a business with with no more than 500 employees I'm gonna select that
if you're a sole proprietor with or without employees or if you're an
independent contractor if you receive a 1099 you work for a company and you get
a 1099 this is you okay so if you are a sole proprietor you have you don't have
an Alice E you don't have a corporation you don't have a partnership this is all
you so that's what you're gonna go and select okay if you are a agriculture
business right you select that if you're a not-for-profit you have to select
obviously the not-for-profit option so for most of you guys you guys are gonna
choose the application is no more than five hundred please or you are the
individual who operates and under a sole proprietorship so I'm gonna go and
select the business with no more than five employees and obviously have to
certify certain things like you're not doing any legal activities your business
yes B also wants to make sure that your business is not of any sexual you know
nature or anything like that of course one-third of the gross annual
revenue cannot come from gambling tivities applicant is not in the
business of lobbying and it's not for state local or municipal government or
it cannot be a member of Congress okay so we're gonna go and continue and this
is where you're gonna go and fill out your business information all the ones
with the red marking on the left are required so you need to fill those out
so I'm gonna go and put my business name so I'm just gonna make up a business
name just for the sake of demonstration so I'm gonna be Acme corporation and my
trade name is gonna be Acme merchandise now next you're gonna go and put in your
EIN as well as your social security number and now of course if you're a
corporation or partnership and now see you're gonna go and put in your EIN if
you're a sole proprietor if you don't have an LLC or a corporation you're
gonna go and put in your social security number so I'm going to go and put in
whatever the number they're asking what is the organizational type so are you so
proprietor are your are you an ass see are you an S corporation or C
corporation so I'm just gonna go and say I'm an LLC is the applicant and not
not-for-profit well I am not so I'm gonna be putting know for not-for-profit
and is the applicant a franchisee so I am NOT a franchisee but if you aren't
obviously gonna say yes gross revenue for the last 12 months of of the date of
the disaster so from January 31st 2019 through January 31st 2020 you're gonna
go and put in what was you gross revenue for your business so I'm gonna go and
say I've made five hundred thousand dollars for my gross revenue okay
cost of goods sold now this is obviously if you have inventory if you sell
merchandise if you sell t-shirts or cups or whatever this is also known as cogs
right in accounting world if you don't sell physical products and
you don't have inventory and could put zero now if you do buy inventory as part
of your business you do have to put in the amount of how much inventory you
bought from January 31st 2019 through third January 31st 2020 and look at this
this is for my landlords watching this for rental properties residential and
commercial so if you have office space if you have commercial lease this
applies to you as well so you're gonna go and put in the loss rent due to the
disaster to go and put in the amount of how much rent you are unable to collect
because of the corona virus pandemic so I'm gonna go and put and say that I've
lost three thousand dollars of rent and I've obviously guys throughout the
entire application you have to be honest okay don't lie don't cheat I've covered
a separate video where if you do end up cheating on the application the
consequences and the penalties are dire so you definitely don't want to cheat
and lie to the SBA now if you have a not-for-profit or an agriculture
enterprise you're gonna put in your cost of operations their compensation from
other sources or result from disaster so if you received any other donation or
any other funding because of the corona virus pandemic you're gonna go and put
that amount in there as well and provide a brief description as to what that
compensation amount is and where did it come from okay your business so going
put in 1 2 3 Main Street write your business address
they're put in Chicago Illinois County of Cook County and gonna put six zero
six one two okay phone number one two three four five six seven eight nine
zero and if you have another phone number go and put that in as well
business fax number and your business email so I'm gonna put info at Acme date
business established so this is more than likely your corporation
establishment date so if you go into your secretary of state website or you
most likely have your paperwork handy go and put in the date of which your LLC or
corporation was established now if you're a sole proprietor go ahead and
put in the date of which one you the business was officially opened and when
you were starting to collect the revenues 0 1 0 and not say I'm gonna put
a start at 2015 ok and I've been owning this business since 2015 as well
business activity right if you are in real estate you're gonna put in real
estate right if you are in educational services you can put in educational
services in there so whichever business activity where you generate most amount
of gross income that's what you're gonna go and put in I know some of you guys do
a little bit of plumbing work and maybe you do painting on the side or maybe you
are invested in real estate but majority of your income comes from your
automobile sales company or whatever the case might be so you're gonna put in
automotive sales right if you generate more of your income from that then your
rental properties okay so I'm gonna go and put in for myself because most of my
income comes from real estate we're gonna put in real estate and I'm gonna
go and put in property management slash Realty or if you are a real estate
developer you fix and flips that's that's what it is number of employees
now remember guys you you are an employee ok don't put 0 because you work
for your company so if you are a sole proprietor or you
are your own business go and put it in 1 if you actually have w2 employees you
pay people out of payroll then you're gonna go and put in the amount of
employees that you have if you have 1099 workers I'm sorry guys those are not
your employees they are separate business they apply for their own EIDL
does that make sense so if you are in a if you have employees go and put in
mad employees that you have but if you are a solopreneur then put in one okay
now I do have about five employees now so I'm going to put in five hit next and
you're gonna go and put in your owner information so if you are the sole owner
then this is your information your personal information if you have a
partner then obviously you're gonna have to put in your partner information and
as well now the first thing you don't want to miss is this question right here
is your business owned by another entity so if your LLC is owned by a corporation
then you say yes right if your LLC is owned by you then no it's owned by a
natural person so I'm gonna put no and go and put in your information okay I'm
just gonna put in random info right I am the owner of this company I own hundred
percent of it and I'm gonna put in my email Sam at Acme comm one two three
four five six seven eight nine for social security and my birthday and I
will reveal my real birthday so you can send me presents 1992 place of birth I
was born in South Korea so here we got a little tidbit of information about me I
am a US citizen and this is my fake residential address because I don't want
you guys barging in my house okay I'm gonna put a random number for a zip code
as well I'm it's asking for me for something close there we go
and then again if you have a partner you're gonna go and click on add
additional owner but for me I'm a hundred percent owner so I'm gonna click
next and this is where you're gonna be asked additional questions right has the
business been listed or convicted of felony right well I have not sumit hit
no and read these very carefully guys I know I'm skimming through these rather
quickly for the purpose of the video but read through them very carefully because
you don't want to answer you know wrongly and put any mistake in your
application you certainly don't want that okay is the applicant enlisted
owner currently suspended or debarred from contracting with federal government
so I am NOT any indictment criminal information nope somebody hit no okay
and if someone is syste you and completing the application whether you
pay a fee or for the service or not the PAP
must enter that information here below so this is not me guys
right I'm just giving you a general information go and put it in your CPA
your attorney your financial professional information in there if
they are helping you fill out this application so go in and fill that out
now this is really important if you want the 1000 through $10,000 grant money
this is where you go and hit the check mark okay go and put in I would like to
be considered for an advance of up to $10,000 so do not miss this guys if you
don't if you don't want your money then you can obviously skip this but if you
want your money then this is it so go and put in your bank account name I'm
just gonna put a random number in here okay all right um
shoot I'm gonna have to actually put in the real there we go
all right so go and put your routing and account number in there very very
important right if you get that wrong the money's gonna be sent to someone
else and someone's gonna have a nice pleasant surprise so make sure you get
the bank account and routing number correct and then finally go and read
this paragraph obviously this is saying hey if you lied to us here's the penalty
you'll pay right definitely important and then after you read that go ahead
and certify that information you provide to the SBA is true and hit next and
there's gonna have you review the information and hit submit and you're
done that's pretty much it so again they're gonna go and check your credit
and after they check your credit and reviewer application SBA has up to three
days for them to go and deposit the 1000 through $10,000 free II ideal grant
money so definitely keep an eye on your credit as well as your bank account now
as soon as they deposit the money you'll see a screen like this where you it's
gonna say SBA Treasury and it's gonna be a weird number but they can give you the
amount and it's an auto deposit right into your bank account now before we go
off to check your bank account to see if you got the money or not be sure to
smash the like button for the YouTube algorithm turn that like button to blue
I'm moving for few weeks later you'll get an email from the SBA requesting
that you open a portal for your loan application so you see an email just
like this where you click the button and create
count with the SBA loan portal now after you create the portal account you're
gonna see another screen like this where you select the loan amount that you want
to apply for and a few days later after you submit the loan amount and finalize
the submission the SBA once again will contact you in a matter of days with the
loan documentation as well as the contract for the SBA EEI DOL now if you
guys want the full breakdown for the SBA EIDL loan I have a separate video I made
for that to go and check the video description below where I left a full
breakdown of the SBA loan contract and I'll explain why I decided to walk away
and decline the loan offer mainly because it honestly wasn't the best fit
for me and you'll see exactly why now remember guys the SBA II ideal loan
program is first-come first-served so definitely go apply before it runs out
by now it's likely that many small business owners may have applied for the
SBA EIDL loan program so definitely go and fly and get your money as well now
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using our own money or credit and we did this when we were only 24 and 22 years
old so if we can do it so can you now finally if you guys want to continue
seeing these updates as well as the newest changes to the SBA loan programs
I ideal loan programs as well as learning how to invest in real estate be
sure to subscribe to a channel and hit the notification bellow icons and again
notified for our future videos and go and check out some of the other videos
we have about SBA loan programs and investing in real estate