Newtek Business Services Corp.
Dear Valued Newtek Client and Borrower,

We certainly appreciate the historic relationship we’ve had as your lender in the SBA 7(a) program, as well as your participation in the recent Paycheck Protection Program (“PPP”). We understand you may be anxious about the economy, and over the next few months, we are here to be helpful and guide you through the remaining time in the pandemic.

We firmly believe the Senate, led by Mitch McConnell, the House, led by Nancy Pelosi and either current President Trump or President-Elect Joe Biden will sign off on additional stimulus dollars for your customers, as well as additional PPP funding for your business, of which there are $130B of previously appropriated funding still sitting in an unallocated pool. The previous PPP program and government stimulus (CARES Act Section 1112) provided for six (6) months of principal and interest payments for SBA 7(a) borrowers, of which all of you were benefactors.

There is still a significant and material unallocated dollar amount waiting to be appropriated or released in a new program, which we are hopeful will be created into law. The timing and approval of the release of this program is unknown- be it before Thanksgiving, in a Lame Duck session or after January 20, 2021. It is also possible another stimulus does not occur, although we pose this as a highly unlikely event and suggest you write to your Congressmen and Senators to encourage them to pass additional stimulus and PPP now.

We urge you to coordinate with your Newtek Small Business Finance servicing advisor, which most of you have already done, so we can help bridge you through this tough time. Although shutting down a business at times might seem like the easiest thing to do, due to the recent advances in therapeutics and vaccines, we are optimistic that our future is very bright and that 2020 will come to an end very soon. We appreciate your hard work and your patriotism and willingness to fight against the economic slowdown. We encourage you to continue to do whatever you can do for potential bridge financing that we hope and believe will be available to you in the near future.

Regards,
Newtek Small Business Finance