The Paycheck Protection Program
What is the Paycheck Protection Program?
The Paycheck Protection Program (PPP) is a U.S. Small Business Administration (SBA) federal loan guarantee that allows lenders to make loans designed to provide a direct incentive for small businesses to keep their workers on the payroll. SBA will forgive tge loan if the loan proceeds are used payroll, rent, mortgage interest, utilities, and other defined expenses.
Who can apply?
This program is for any small business with less than 300 employees (including sole proprietorships, independent contractors and self-employed persons), and a number of private non-profit organizations. Businesses in certain industries may have more than 300 employees if they meet the SBA’s size standards for those industries.
Will I have to pay back this loan?
The loan may be fully forgiven if the funds are used for payroll costs, interest on mortgages, rent, and utilities and you have not reduced your payroll by more than defined amount. Please note: at least 60% of the forgiven amount must have been used for payroll.
The purpose of this loan/forgiveness is to enable and encourage small businesses to protect their employees. Loan payments will be deferred until 2022 but may be forgiven before a repayment schedule begins. No collateral or personal guarantees are required. Neither the government nor lenders will charge the small business any fees for applying for the loan. Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels.
How do I apply?
Click below to get started on your application!