Since the first rollout of the Paycheck Protection Program (PPP), the initial $359 billion funding that was available for small businesses has been depleted. However, on Friday, April 24, 2020, the President signed a bill that introduced a second round of loan funding for companies struggling to retain employees.
According to the Small Business Association (SBA), the funding for this new round has already been replenished with an additional $310 billion under the “Paycheck Protection Program and Health Care Enhancement Act.”
What does this mean for you?
If you’re among the millions of small business owners who had difficulties acquiring funding during the first round, you have another chance to help your business stay afloat. As of Monday, April 27, the SBA will resume accepting PPP loan applications at 10:30 AM EDT.
Here’s everything you need to know about the new bill.
Paycheck Protection Program – Round 2
The provisions of the second round of PPP loans are staying essentially the same, with two exceptions.
- A portion of the funds must be granted by smaller lenders that cater to truly small, local businesses. At least $60 billion must be granted by small banks, community financial institutions, and credit unions.
- If you receive PPP funds that you realize you don’t need, you can return the funds within two weeks (with no penalty).
We’re Here To Help
The Paycheck Protection Program is one of the measures in the new U.S. federal coronavirus stimulus bill. The PPP loans can help your small business with COVID-19 relief.
Application for a PPP loan can be tedious, so if you need assistance we’d be happy to help you. Here’s everything small business owners need to know before applying.