PPP Loans: These Nonbank Lenders Are Accepting Round 2 Applications
The Paycheck Protection Program (PPP) has reopened to all lenders, and with this fresh wave of funding comes new eligibility requirements and further clarifications around the forgiveness process.
The bipartisan coronavirus relief legislation approved late last year included an additional $284 billion for PPP loans—aid designed to help small businesses keep their doors open and continue to pay employees during the pandemic. This new round of loans is available to first-time applicants, as well as those businesses that have already benefited from the program. The most recent legislation also eased loan forgiveness rules, which businesses had earlier said were too burdensome.
Eligible businesses have until March 31 to apply for the latest round of loans. Banks and credit unions are offering the loans, but you can also apply through nonbank lenders, including these institutions.
Nonbank Lenders Accepting PPP Loan Applications
- BlueVine: This online business lender will accept applications from any small business interested in applying for a PPP loan for first or second draw loans. Existing BlueVine customers will be contacted by BlueVine when their PPP loan application is ready.
- Centerstone SBA Lending: This nonbank, SBA-approved lender is accepting applications from small businesses seeking PPP loans for both first and second draw loans.
- Fountainhead: As a nonbank lender licensed to make SBA 7(a) loans, Fountainhead is accepting applications from any small business for first and second draw loans.
- Harvest Small Business Finance: This nonbank, SBA-approved lender says it focuses on commercial real estate lending to “small business borrowers who have traditionally been ignored by large, regional and community banks.” It is accepting applications for PPP first and second draw loans from any qualifying business through its website.
- Kabbage: Prior to the coronavirus crisis, this fintech company made loans to small businesses and consumers through its lending platform. It then partnered with an SBA-authorized bank to process and disburse PPP loans to qualified small businesses via its KServicing platform. A spokesperson for Kabbage said it will soon be accepting applications from eligible customers seeking a second draw loan through its new site, KServicing.com.
- Lendistry: This California-based community development financial institution (CDFI) has an online application process and can submit PPP first and second draw loans to the SBA from small businesses in the following places: California, Colorado, Florida, Georgia, Illinois, Iowa, Maryland, Michigan, New Jersey, New York, Pennsylvania, Texas and the District of Columbia.
- Newtek: Newtek’s Small Business Finance Program processed PPP loans that received funding through the first rounds of PPP funds. Its website is currently accepting applications for first and second draw loans.
- Ready Capital: This commercial lender is an approved provider of PPP loans. It has resumed accepting applications and has partnered with Lendio to process and submit applications for first and second draw funding to the SBA.
- Square Capital: Although Square is best known for its point-of-sale software, the company received SBA approval to accept applications for PPP loans. Its website says that they should be ready to accept applications soon for this latest round of funding, but only from existing Square customers.
- The Loan Source: One of a small group of nonbank lenders that were approved by the SBA back in 1994, its website says you can register to be notified when their application portal is live.
- Biz2Credit: The online lender is currently accepting applications for first and second draw loans, which it will submit directly to an SBA-approved lender. In order to apply, an applicant must first have a Biz2Credit account.
- Brex: Although the company is best known for its corporate credit cards that don’t require a personal guarantee, Brex has partnered with Womply, a loan agent that connects prospective borrowers with SBA-approved lenders. Brex customers can fill out an application that uses Womply’s software to submit qualified PPP loan applications to the SBA.
- Community Reinvestment Fund, USA: More commonly known as CRF, this community development financial institution is a registered nonprofit organization with an emphasis on supporting nonprofits and small business owners. You can apply now for first or second round funding.
- Divvy: This company says it works both with Lendio, an online lending marketplace, and Cross River Bank to process and fund PPP loans. You can submit your interest in a first or second draw loan here.
- Fundera: This online loan marketplace lets you use one application to gain access to multiple PPP lenders. Fundera can then direct your application to the lender with the most bandwidth to process your application.
- Funding Circle: This online marketplace, which connects investors with small businesses seeking loans, is now accepting PPP applications for both first and second draw loans. Once you submit the online form, Funding Circle will put you in touch with an account manager to complete your application. If approved, one of Funding Circle’s partners will fund your loan.
- Nav: Online loan marketplace Nav has partnered with multiple lenders, including a SBA loan origination software and services partner. It’s accepting applications for first and second draw PPP funding through their partner SmartBizLoans.
- PayPal Holdings: Also approved by the SBA as a nonbank lender, PayPal is accepting applications for PPP through its LoanBuilder.com site with WebBank as the lender.
- SmartBizLoans: This is an online loan marketplace that will submit your PPP loan application to one of their partner banks. It’s accepting loan applications for first and second draw funding.
- Womply: Womply is a loan agent, meaning although it doesn’t directly lend funds to PPP applicants, it can assist with the application process and connect you to an SBA-approved lender. You can start an application with Wombly for first or second draw loans.