Paycheck Protection Program (PPP)

The Paycheck Protection Program (PPP) provides forgivable loans to help businesses and non-profits keep their workforce employed during the Coronavirus (COVID-19) crisis. PPP loans can be used to help fund payroll costs, including benefits, and may also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations.

 

*On February 22, 2021, The White House and SBA announced revisions to the PPP program and a two week “exclusivity period” starting February 24 at 9:00 a.m. for businesses and non-profits with fewer than 20 employees. Additional changes to the program to promote inclusion are outlined in the SBA’s media release linked here.

 

SBA is currently offering:

First Draw PPP Forgivable Loans

SBA, in consultation with the U.S. Treasury Department, reopened the Paycheck Protection Program (PPP) for First Draw forgivable loans the week of January 11, 2021.

The following entities affected by Coronavirus (COVID-19) may be eligible:

  • Sole proprietors, independent contractors, and self-employed persons

  • Any small business concern that meets SBA’s size standards (either the industry size standard or the alternative size standard)

  • Any business, 501(c)(3) non-profit organization, 501(c)(19) veterans organization, or tribal business concern (sec. 31(b)(2)(C) of the Small Business Act) with the greater of:

  • 500 employees, or

  • That meets the SBA industry size standard if more than 500

  • Any business with a NAICS code that begins with 72 (Accommodations and Food Services) that has more than one physical location and employs less than 500 per location

You can apply for a First Draw PPP forgivable loan until March 31, 2021.

 

SBA is currently accepting First Draw PPP forgivable loan applications from participating lenders. Lender Match can help connect you with a lender. All new First Draw PPP forgivable loans will have the same terms regardless of lender or borrower.

If you wish to begin preparing your application, you can download the PPP borrower application form to see the information that will be requested from you when you apply with a lender.

Second Draw PPP Forgivable Loans

SBA began accepting applications for Second Draw PPP forgivable loans on January 13, 2021.

A borrower is generally eligible for a Second Draw PPP forgivable loan if the borrower: 

  • Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses

  • Has no more than 300 employees; and

  • Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020

You can apply for a Second Draw PPP forgivable loan until March 31, 2021.

 

SBA is currently accepting Second Draw PPP loan applications from participating lenders. Lender Match can help connect you with a lender. All Second Draw PPP Loans will have the same terms regardless of lender or borrower. 

If you wish to begin preparing your application, you can download the PPP borrower application form to see the information that will be requested from you when you apply with a lender.

Questions about PPP?

Unsure if PPP is right for you?

Here are 3 simple ways to get started.

1

Talk to your lender

Contact your established lender and see what options are available to you.

2

Search for options on Lender Match

Lender Match connects businesses with SBA-approved CDFIs and lenders.

3

Get technical assistance

Find a local resource or a trusted advisor that can help find options AT NO COST TO YOU.

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Questions?

SmallBizHelpWA.com is an information and resource hub powered by the National Development Council and Washington Economic Development Association with support from the Washington Small Business Recovery Working Group.
 
Information provided is subject to change at any time with new resources, legislation and/or additional rules from the U.S. Treasury and/or the SBA. Consult your CPA, Attorney or similar professional for tax and legal advice regarding how these programs may impact your specific business. SmallBizHelpWA.com is not the final authority on this material.

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