The next round of US Small Business Administration Payroll Protection Program (PPP) will open on Monday. The Payroll Protection Program provides forgivable emergency loans. There have been several updates to the original PPP terms over the past months. The latest round of PPP adds more eligible forgivable expenses, so more small businesses, including sole proprietors, can take advantage of this relief.
The Enterprise Center has limited time to help businesses like yours, so get ready to apply TODAY! We hope you will join this free virtual training session to learn how to help businesses prepare their PPP applications. See below for the criteria.
Free Virtual PPP Preparation Training
Monday, January 11, 2021
12:00 PM to 1:00 PM for businesses with employee
1:15 PM to 2:15 PM for sole proprietors.
Some of the focus areas are Documentation Prep, Overview of the statutes, and where to go for additional help.
Eligibility Criteria
- Small businesses that have no more than 300 employees and demonstrate at least a 25 percent reduction in gross revenues between comparable quarters in 2019 and 2020
Key Provisions
- Maximum loan size of 2.5X average monthly payroll costs, up to $2 million.
- 3.5x for small businesses assigned to the industry NAICS code 72 (Accommodation and Food Services)
- Borrowers receive full loan forgiveness if they spend at least 60 percent of their PPP second draw loan on payroll costs over a time period of their choosing between 8 weeks and 24 weeks
- Forgivable expenses expanded – from payroll costs, mortgage, or qualified interest, rent, and utilities – to also include certain covered supplier costs, worker protection expenditures, and operations expenditures
- Allows previous PPP loan utilize the expanded forgivable expenses except for borrowers who have already had their loans forgiven.
- Simplify forgiveness application process for loans up to $150,000
- Borrowers that also received SBA Economic Injury Disaster Loan (EIDL) Advances would no longer need to subtract such advances from their PPP forgiveness
