Paycheck Protection Program (PPP) Loan

Loan Details

PPP is a loan designed to provide small businesses with a direct incentive to keep their employees on the payroll. First Draw PPP loans can be used to finance payroll costs, including benefits. They can also be used to cover mortgage interest, rent, utilities, worker protection costs related to COVID-19, and costs for uninsured property damage caused by looting or vandalism 2020 and certain vendor costs and expenses for operations.

SBA Paycheck Protection Plan

An SBA-supported loan to help businesses keep their workforce employed during the COVID-19 crisis.

The Paycheck Protection Program (PPP) is a loan designed to provide small businesses with a direct incentive to keep their workers on the payroll. Borrowers may be eligible for PPP lending.
The SBA currently offers PPP loans through May 31, 2021. President Biden announced program changes to make access to PPP loans more equitable.

1.Find a lender:

  • Get matched with a lender.
  • Search for lenders in your area

2. Identify a loan:

  • First Draw PPP Loan: If you have not obtained a PPP loan before, First Draw PPP loans are available.
  • Second Draw PPP Loans: If you have previously received a PPP loan, certain businesses may be eligible for a Second Draw PPP loan.

SBA will make loans if all retention criteria are met and the funds are used for eligible expenses.
PPP loans have an interest rate of 1%.
Loans made before June 5, 2020, have a two-year term. Loans made after June 5, 2020 have a term of five years.
Loan payments are deferred for borrowers requesting loan forgiveness until SBA remits the borrower’s loan origination amount to the lender. If a borrower does not request loan origination, payments are deferred 10 months after the end of the covered period for the borrower’s loan origination (between 8 and 24 weeks).
No collateral or personal guarantees are required.
Neither the government nor lenders charge small business fees.

Who may qualify?

  • The following businesses affected by COVID-19 may be eligible:
  • Sole proprietors, independent contractors, and self-employed individuals.
  • Any small business that meets SBA’s size standards (either the industry size standard or the alternative size standard).
  • Any business, 501 (c) (3) nonprofit organization, 501 (c) (19) veterans organization, or tribal enterprise (Section 31 (b) (2) (C) of the Small Business Act) with the greater of:
  • 500 employees; or
  • That meets the SBA industry standard if greater than 500.
  • Any business with a NAICS code that begins with 72 (accommodation and food services) and has more than one physical location and employs fewer than 500 employees per location.

How and when to apply?

Lender Match can help you connect with a lender. You can also view all lenders in your area on a map. All new First Draw PPP loans have the same terms regardless of the lender or borrower.

To get started preparing your application, download the PPP Borrower Application Form below to view the information that will be requested from you when you apply to a lender:
  • PPP First Draw Borrower Application Form
  • First draw borrower application form for Schedule C filers using gross income.
Lenders typically decide when to submit individual PPP loan applications to SBA. Therefore, any questions or concerns regarding individual PPP loan applications must be directed to your lender.
Borrowers whose application has been submitted to SBA by their lender may create an account in SBA’s Capital Access Financial System (CAFS) to monitor their loan status. Receive account registration instructions.
If you are unsure of your PPP loan status or if your PPP loan application has been flagged due to data anomalies, contact your lender for more information.

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