What is an ERC Bridge Loan and How Can It Help Your Business?

Key Takeaways

• What is it? A short-term loan that advances you up to 90% of your expected ERC refund in as little as 72 hours

• Who is eligible? Any employer who qualifies for the ERC based on revenue decline or suspension of operations due to COVID-19

• How do I apply? Fill out a simple online application form and provide some basic documents and information

• How do I repay? The loan will be repaid automatically from your ERC refund when it arrives from the IRS

• What are the benefits? Fast and easy access to cash flow, no collateral or personal guarantee required, competitive interest rate, no fees or penalties

If you are a small business owner who has been affected by the COVID-19 pandemic, you may be eligible for a tax credit that can help you retain your employees and recover your losses. The Employee Retention Credit (ERC) is a refundable tax credit that allows eligible employers to claim up to 70% of qualified wages and health plan expenses paid to their employees during the pandemic. The ERC can be claimed for each quarter of 2021 and 2022, up to a maximum of $7,000 per employee per quarter.

However, claiming the ERC can be a lengthy and complicated process, and you may have to wait for months before you receive your refund from the IRS. That's why many small businesses are turning to an alternative solution that can provide them with fast and easy access to a portion of their ERC refund. This solution is called an ERC Bridge Loan.

An ERC Bridge Loan is a short-term loan that advances you up to 90% of your expected ERC refund in as little as 72 hours. You can use the loan to cover your immediate expenses, such as payroll, rent, utilities, inventory, or taxes. You don't have to worry about paying back the loan until you receive your ERC refund from the IRS, which will be used to repay the loan automatically. The loan has no collateral or personal guarantee requirements, and the interest rate is based on your credit score and business performance.

One of the best providers of ERC Bridge Loans in the market is Swift SBF, a small business financing company that specializes in ERC advances and other financing solutions. Swift SBF has helped thousands of small businesses across the country get their ERC refunds faster and easier than ever before. Swift SBF offers ERC advances up to $250,000 per quarter, with no fees, no prepayment penalties, and no hidden charges.

How to Qualify for the Employee Retention Credit

The Employee Retention Credit (ERC) is a refundable tax credit that was created by the CARES Act in 2020 and expanded by the Consolidated Appropriations Act in 2021 and the American Rescue Plan Act in 2022. The purpose of the ERC is to encourage employers to keep their employees on payroll during the COVID-19 pandemic.

The eligibility criteria for the ERC vary depending on the year and quarter in which you are claiming the credit. Here are the general rules for each period:

• For 2020: You are eligible for the ERC if you had a full or partial suspension of operations due to a government order related to COVID-19, or if you had a significant decline in gross receipts compared to 2019. A significant decline means that your gross receipts were less than 50% of the same quarter in 2019. The credit amount is 50% of qualified wages and health plan expenses paid to each employee, up to $10,000 per employee for the entire year.
• For 2021: You are eligible for the ERC if you had a full or partial suspension of operations due to a government order related to COVID-19, or if you had a significant decline in gross receipts compared to 2019. A significant decline means that your gross receipts were less than 80% of the same quarter in 2019. The credit amount is 70% of qualified wages and health plan expenses paid to each employee, up to $10,000 per employee per quarter.
• For 2022: You are eligible for the ERC if you had a full or partial suspension of operations due to a government order related to COVID-19, or if you had a significant decline in gross receipts compared to 2019. A significant decline means that your gross receipts were less than 80% of the same quarter in 2019. The credit amount is 70% of qualified wages and health plan expenses paid to each employee, up to $7,000 per employee per quarter.

The definition of qualified wages and health plan expenses also depends on the size of your business. For 2020, if you had more than 100 full-time employees, you can only claim the credit for wages and expenses paid to employees who were not working due to COVID-19. For 2021 and 2022, if you had more than 500 full-time employees, you can only claim the credit for wages and expenses paid to employees who were not working due to COVID-19. For smaller businesses, you can claim the credit for wages and expenses paid to all employees, regardless of whether they were working or not.

To claim the ERC, you need to file IRS form 941, Employer's Quarterly Federal Tax Return, with the IRS. You can also reduce your federal employment tax deposits by the amount of the credit. If your credit exceeds your tax liability, you can request an advance payment of the credit by filing Form 7200, Advance Payment of Employer Credits Due to COVID-19, with the IRS.

However, filing for the ERC can be a complex and time-consuming process, and you may face delays or errors in receiving your refund from the IRS. That's why many small businesses are opting for an ERC Bridge Loan from Swift SBF, which can provide them with up to 90% of their expected ERC refund in as little as 72 hours. Swift SBF can also help you file your ERC claim with the IRS and ensure that you receive the maximum amount of credit that you are entitled to.

Eligibility Criteria for the Employee Retention Credit

Year	Quarter	Revenue Decline	Operations Suspension	Credit Amount	Wage Limit	Employee Size
2020	Q1-Q4	Less than 50% of same quarter in 2019	Full or partial due to government order	50% of qualified wages and health plan expenses	$10,000 per employee per year	More than 100: only for non-working employees; Less than or equal to 100: for all employees
2021	Q1-Q4	Less than 80% of same quarter in 2019	Full or partial due to government order	70% of qualified wages and health plan expenses	$10,000 per employee per quarter	More than 500: only for non-working employees; Less than or equal to 500: for all employees
2022	Q1-Q4	Less than 80% of same quarter in 2019	Full or partial due to government order	70% of qualified wages and health plan expenses	$7,000 per employee per quarter	More than 500: only for non-working employees; Less than or equal to 500: for all employees

How to Apply for an ERC Bridge Loan from Swift SBF

Applying for an ERC Bridge Loan from Swift SBF is fast and easy. You can complete the entire process online in a few simple steps:

• Fill out a short online application form on Swift SBF's website. You will need to provide some basic information about your business, such as your name, address, phone number, email, industry, and revenue.
• Upload some documents to verify your identity and your ERC eligibility. You will need to provide a copy of your driver's license or passport, your bank statements for the last three months, your tax returns for 2019 and 2020, and your Form 941 and Form 7200 for the quarter that you are claiming the ERC.
• Review and sign your loan agreement. You will receive an instant decision on your loan approval and the amount that you can borrow. You will also see the interest rate, fees, and repayment terms of your loan. You can review the loan agreement carefully and sign it electronically.
• Receive your funds in your bank account. Once you sign the loan agreement, you will receive your funds in as little as 72 hours. You can use the funds for any business purpose that you need.

Swift SBF does not charge any fees to apply for an ERC Bridge Loan. You don't have to provide any collateral or personal guarantee to secure the loan. Your credit score will not be affected by applying for the loan. Swift SBF will only perform a soft credit check to verify your identity and business performance.

How to Use Your ERC Bridge Loan to Grow Your Business

An ERC Bridge Loan can be a great way to boost your cash flow and grow your business during the pandemic. Here are some suggestions on how to use your ERC advance to invest in your business:

• Hire new staff or rehire laid-off workers. You can use the ERC advance to pay for salaries, wages, tips, commissions, bonuses, and other compensation for your employees. You can also use it to pay for health plan expenses for your employees. Hiring new staff or rehiring laid-off workers can help you increase your productivity, improve your customer service, and expand your market share.
• Buy new equipment or upgrade existing ones. You can use the ERC advance to purchase or lease new equipment or upgrade existing ones that are essential for your business operations. You can also use it to pay for maintenance, repairs, or improvements of your equipment. Buying new equipment or upgrading existing ones can help you improve your efficiency, quality, and safety.
• Expand your market or launch new products or services. You can use the ERC advance to fund your marketing campaigns, advertising, promotions, or research and development. You can also use it to launch new products or services that meet the changing needs and preferences of your customers. Expanding your market or launching new products or services can help you increase your sales, revenue, and profitability.

Using an ERC Bridge Loan to invest in your business can have many benefits, such as:

• Improving your cash flow and liquidity
• Reducing your debt and interest payments
• Increasing your savings and reserves
• Enhancing your reputation and credibility
• Strengthening your competitive advantage and market position

If you need more funding than what an ERC Bridge Loan can provide, Swift SBF can help you find other financing options that suit your business needs. Swift SBF offers a variety of financing solutions, such as:

• SBA loans
• Term loans
• Lines of credit
• Invoice factoring
• Merchant cash advances

Swift SBF can help you compare different financing options and choose the best one for your business.

How to Repay Your ERC Bridge Loan to Swift SBF

Repaying your ERC Bridge Loan to Swift SBF is simple and hassle-free. You don't have to worry about making monthly payments or keeping track of due dates. The loan will be repaid automatically from your ERC refund when it arrives from the IRS.

The repayment terms and conditions of the ERC Bridge Loan are as follows:

• The loan amount is up to 90% of your expected ERC refund
• The interest rate is based on your credit score and business performance
• The loan term is up to 12 months
• The loan has no prepayment penalties or hidden fees

Frequently Asked Questions About ERC Bridge Loans

If you have any questions or doubts about ERC Bridge Loans, you may find the answers in this section. Here are some of the most frequently asked questions about ERC advances and their answers:

• How long does it take to get an ERC Bridge Loan from Swift SBF?
  • It takes as little as 72 hours to get an ERC Bridge Loan from Swift SBF. You can apply online in minutes and receive an instant decision on your loan approval and amount. Once you sign the loan agreement, you will receive your funds in your bank account within three business days.
• How much can I borrow from Swift SBF for an ERC Bridge Loan?
  • You can borrow up to 90% of your expected ERC refund from Swift SBF for an ERC Bridge Loan. The maximum loan amount is $250,000 per quarter. The loan amount is based on your estimated ERC claim, which Swift SBF can help you calculate and file with the IRS.
• What if I don't receive my ERC refund from the IRS?
  • If you don't receive your ERC refund from the IRS by the end of the loan term, you can extend the loan for another six months with a 5% extension fee. You will also have to pay interest on the extended loan amount. Swift SBF will work with you to resolve any issues or delays with your ERC claim and refund.
• What if I need more funding than my ERC Bridge Loan?
  • If you need more funding than what an ERC Bridge Loan can provide, Swift SBF can help you find other financing options that suit your business needs. Swift SBF offers a variety of financing solutions, such as SBA loans, term loans, lines of credit, invoice factoring, and merchant cash advances. You can apply for multiple financing products from Swift SBF and choose the best one for your business.

Why Choose Swift SBF for Your ERC Bridge Loan and Other Financing Needs

Swift SBF is more than just a provider of ERC Bridge Loans. We are a trusted partner for small businesses across the country who need fast and flexible financing solutions. Here are some of the reasons why you should choose Swift SBF for your ERC advance and other financing needs:

• Fast and easy application process: You can apply online in minutes and receive an instant decision on your loan approval and amount. You don't have to fill out lengthy forms or provide unnecessary documents.
• Competitive rates and fees: You can get an ERC Bridge Loan at a low interest rate based on your credit score and business performance. You don't have to pay any fees to apply or any prepayment penalties or hidden charges.
• Flexible and customized solutions: You can borrow up to 90% of your expected ERC refund up to $250,000 per quarter. You don't have to provide any collateral or personal guarantee to secure the loan. You can repay the loan automatically from your ERC refund when it arrives from the IRS.
• Friendly and professional customer service: You can reach out to our customer service team anytime by phone, email, or chat. You can get answers to your questions and guidance for your application and repayment process. You can also get updates on your ERC claim and refund status.
• Expertise and experience in small business financing: We have been in the business of providing financing solutions to small businesses for over 10 years. We have helped thousands of small businesses get the funding they need to survive and thrive during the pandemic and beyond. We have a deep understanding of the ERC program and the challenges and opportunities that small businesses face.

Resources and Tips for Small Business Owners

If you want to learn more about the ERC program and other financing options for your business, you can check out our website for useful articles and blogs that offer advice and guidance for small business owners. Here are some of the resources and tips that you can find on our website:

• [ERC Advance Loan: Get Your ERC Faster in 2023]: This article explains what an ERC advance loan is, how it works, how to qualify, how to apply, and how to use it to grow your business.
• [4 Easy Steps Needed To Get The ERTC Advance]: This article outlines the four easy steps that you need to follow to get the ERTC advance from Swift SBF, from filling out the online application form to receiving your funds in your bank account.
• [How Do I Check The Status Of My Erc Refund?]: This article provides tips on how to check the status of your ERC refund from the IRS, what to do if you face any delays or errors, and how to contact Swift SBF for assistance.
• How To Maximize Your Employee Retention Credit In 2023: This article provides tips on how to maximize your ERC claim in 2023, such as how to calculate your revenue decline, how to determine your qualified wages and expenses, and how to avoid common mistakes.
• How To Boost Your Business With The ERTC Advance: This article provides tips on how to boost your business with the ERTC advance, such as how to invest in your employees, equipment, market, or products, and how to benefit from improved cash flow, reduced debt, increased savings, enhanced reputation, and strengthened competitive advantage.

Contact Us Today for Your ERC Bridge Loan and More

If you are ready to get your ERC refund faster and easier than ever before, contact us today and apply for an ERC Bridge Loan from Swift SBF. You can fill out a short online application form on our website and receive an instant decision on your loan approval and amount. You can also call us at (800) 123-4567 or email us at info@swiftsbf.com for more information or inquiries about our services.

Don't miss this opportunity to get the funding you need to keep your business running and growing during the pandemic and beyond. Apply for an ERC Bridge Loan from Swift SBF today and get up to 90% of your expected ERC refund in as little as 72 hours.

Apply Now