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Paycheck Protection Program Will Reopen on Jan. 15

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The U.S. Department of Treasury and the Small Business Administration (SBA) have announced that lenders with less than $1 billion in assets will be eligible to receive first and second draws in Paycheck Protection Program (PPP) loan applications starting Friday, Jan. 15.

"First Draw PPP Loans can be used to help fund payroll costs, including benefits, and may also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020 and certain supplier costs and expenses for operations," according to the SBA, which says it will forgive PPP loans if all employee retention criteria are met and the funds are used for eligible expenses.

The loans, which have an interest rate of 1%, will have a maturity of five years if issued after June 5, 2020, and two years if issued before that date.

"Loan payments will be deferred for borrowers who apply for loan forgiveness until SBA remits the borrower's loan forgiveness amount to the lender. If a borrower does not apply for loan forgiveness, payments are deferred 10 months after the end of the covered period for the borrower’s loan forgiveness (either 8 weeks or 24 weeks)."

No collateral or personal guarantees are required.

According to the SBA, the following entities affected by COVID-19 may be eligible:

  • Sole proprietors, independent contractors and self-employed persons;
  • Any small business concern that meets the SBA’s size standards (either the industry size standard or the alternative size standard);
  • Any business, 501(c)(3) non-profit organization, 501(c)(19) veterans organization or tribal business concern (sec. 31(b)(2)(C) of the Small Business Act) with the greater of:
    • 500 employees, or
    • That meets the SBA industry size standard if more than 500;
  • Any business with a NAICS code that begins with 72 (Accommodations and Food Services) that has more than one physical location and employs less than 500 per location.

Business owners can apply for First Draw PP loans until March 31, 2021.

To be matched with a participating PPP lender, visit SBA Lender Match.

If you wish to begin preparing your application, you can download the following PPP borrower application form to see the information that will be requested from you when you apply with a lender:

Supplemental information and materials can be accessed below:


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