COVID-19 Relief Updates: PPP loan calculation, EIDL Loan deferral extension & SVOG to launch on 4/8
This week, the U.S Small Business Administration (SBA) released updated guidance on calculating loan amounts for the Paycheck Protection Program (PPP), extended the Economic Injury Disaster Loans (EIDL) loan deferral period, and announced a launch date for the Shuttered Venue Operators Grant (SVOG). Read below for more detail.
The deadline for both first and second draw applicants has been extended to May 31st, 2021. As part of the extension, the SBA will have 30 days after the May 31st deadline to process pending applications.
The SBA has drafted guidance on how to calculate a first draw PPP loan amount as well as how to calculate revenue reduction and a second draw PPP loan amount, and the documentation required for each submission. Click the PPP Second Draw Overview and PPP Second Draw application to get started.
If you have questions about Paycheck Protection Program eligibility or otherwise need assistance, the Pace SBDC team is here to help. Make an appointment for a no-cost, 1:1 advisory session today by emailing sbdc@pace.edu or visiting our website's contact page.
Economic Injury Disaster Loans deferral period extension
The SBA announced an extended EIDL loan deferral period. All EIDL loans made in calendar year 2020 will have a first payment due date extended to 24-months from the date of the note, and EIDL loans made in calendar year 2021 will have a first payment due date extended to 18-months from the date of the note.
Check out the SBA's EIDL Frequently Asked Questions document for further detail.
The Shuttered Venue Operators Grant Launch Date
The SBA announced that the Shuttered Venue Operators Grant (SVOG) program will start accepting applications on April 8. The SBA has also launched a splash page for the SVOG application portal and will host an informational webinar to highlight the application process on March 30th from 2:30 - 4:00 pm ET.
As a reminder, the SBA announced that SVOG guidelines were amended to enable entities that applied for a PPP loan after Dec. 27, 2020 to also apply for an SVOG, with the eligible entity’s SVOG to be reduced by the PPP loan amount. Read about the SVOG application guidance in last week's updates.
Check out our coronavirus resources page for additional information. Contact a Pace SBDC Business Advisor to meet 1:1 and learn more about your business’s relief options.
