The Paycheck Protection Program (PPP) closed on May 31st, 2021. If you received funding through this program, visit our PPP Forgiveness page for information on loan forgiveness. 

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The Paycheck Protection Program (PPP) extended loans to provide an incentive for small businesses and non-profit organizations to keep their workers on the payroll. Importantly, SBA will forgive the loans if the full-time headcount remains the same for eight weeks and the loan funds are used for payroll, and other designated operating expenses.

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Loan amounts were calculated as up to eight weeks of average monthly payroll (based on 2019 figures) including benefits, plus an additional 40% (25% previously) of that amount used for rent, mortgage interest, or utility payments made before February 15, 2020, up to a maximum of $10 million.

 

Some other key program details include:

• Fixed 1% interest rate​

• Loan deferment for borrowers who apply for loan forgiveness until SBA remits the borrower's loan forgiveness amount to the lender. If a borrower does not apply for loan forgiveness, payments are deferred 10 months (six months previously) after the end of the covered period for the borrower’s loan forgiveness (either 8 weeks or 24 weeks)

• Loans issued after June 5 have a maturity of five years. Loans issued prior to June 5 have a maturity of two years, though can be extended if mutually agreed upon by borrower and lender

• ​No collateral or personal guarantee requirement, or borrower or lender fees payable to SBA

• Payroll costs will be capped at $100,000 annualized for each employee

• Businesses must have been in operation on 2/15/20

• Re-Hiring: You have until December 31, 2020 (June 30th previously) to restore your full-time employment and salary levels for any changes made between February 15, 2020, and April 26, 2020, to be eligible for loan forgiveness

• Independent contractors and self-employed individuals are eligible

 

For more information, you can check out the SBA’s FAQ document.