Paycheck Protection Program Loan
Tomorrow, Friday, April 3, 2020, businesses and sole proprietorships can apply for the SBA Paycheck Protection Program, which provides small businesses with funds to pay up to eight weeks of payroll costs, as well as interest on mortgage, rent, and utilities. Funds may be fully forgiven based on the employer maintaining or rehiring employees and maintaining salary levels. Independent contractors and self-employed individuals can apply starting on Friday, April 10, 2020.
Who Qualifies for a Paycheck Protection Program Loan?
- Businesses with less than 500 employees
- Sole proprietors, independent contractors, self-employed individuals
- 501(c)(3) non-profits
- Been in business since February 15, 2020, and paid taxes on your employees or independent contractors.
Businesses can apply for the loan through any lending institution that is approved to participate in the program through the existing Small Business Administration 7(a) lending program or additional lenders approved by the Department of Treasury.
The Department of Treasury advises “to apply as quickly as you can because there is a funding cap.”
You can find more information and a sample form to begin preparing an application on the SBA web site.