SBA - Paycheck Protection Program (PPP)

Breaking news on March 31st, 2020 - The SBA announced a new program launched and designed to empower small businesses across the country to pay their employees. Available now through June 30, 2020, business owners can now apply for this much needed financial assistance. Lenders may begin processing loan applications as soon as April 3, 2020.

Program Overview

According to the SBA, “The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. The SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities.”

Who Can Apply?

This program is for any small business with less than 500 employees (including sole proprietorships, independent contractors and self-employed persons), private non-profit organizations or 501(c)(19) veterans organizations affected by coronavirus/COVID-19.

Businesses in certain industries may have more than 500 employees if they meet the SBA’s size standards for those industries.

Small businesses in the hospitality and food industry with more than one location could also be eligible at the store and location level if the store employs less than 500 workers. This means each store location could be eligible.

Source - SBA.gov

For details on how to apply, the loan specifics and details of loan forgiveness, go to:

https://www.sba.gov/funding-programs/loans/paycheck-protection-program-ppp