Last night, the SBA PPP portal was closed to the financial institutions. No more applications were able to be submitted today.

The question is what will happen to the applications submitted but not yet approved.

Note that there are around $8 billions on the side for minority groups and around $6B for applications with error codes.

The Small Business Administration (SBA) Paycheck Protection Program (PPP) portal officially closed to financial institutions last night, bringing an end to the submission of new applications. This move marks a significant milestone in the ongoing effort to support small businesses during the COVID-19 pandemic. As of today, no additional applications will be accepted, leaving thousands of businesses that have already submitted their requests awaiting approval.

For the many small businesses that applied but have yet to receive approval, the closure of the portal raises important questions about their future. There are still billions of dollars allocated for specific groups, such as minority-owned businesses, which have been prioritized to ensure equitable access. The remaining funds amount to approximately $8 billion set aside specifically for minority-owned enterprises, aiming to address existing disparities in access to capital. Additionally, around $6 billion is reserved for businesses that submitted applications but contained error codes, offering them a chance to rectify mistakes and still obtain much-needed relief.

The closure of the PPP portal does not mean the end of support entirely. The SBA will continue processing and evaluating submitted applications, with a focus on ensuring that as many small businesses as possible receive the necessary assistance. Financial institutions are expected to work diligently to clear any outstanding issues and move forward with approvals. While time is running short, the available funds offer a final lifeline for businesses still navigating challenges caused by the pandemic.

Businesses that find themselves in this position should remain vigilant, communicating with their financial institutions and keeping close track of their application status. The hope is that despite the portal’s closure, businesses will still have opportunities to access relief, particularly through the allocated funds set aside for specific groups and those with minor application errors.

NYTimes article – https://www.nytimes.com/2021/05/04/business/paycheck-protection-program-closes.html