PPP Take 29
PPP Take 29
If you are counting, there have been 29 interim final rulings since the SBA first released the Payroll Protection Program (quite possibly more changes will be forthcoming).
On July 4th, the application deadline for applying for the PPP loan was extended from 6/30 to 8/8/20. If you have not already applied for the PPP loan, I recommend that you do so at your local bank. If they are not accepting applications, then you can also apply through Kabbage, Square, PayPal, and QuickBooks.
The PPP loan may turn into a grant, if you spend the funds during the covered period on the forgivable expenses. The covered period is generally 24 weeks from when you receive your funds or 12/31/20, whichever occurs first. You need to spend at least 60% of these funds on payroll. The remaining 40% can be spent on Rent, Interest payments, or Utilities for agreements that were in place prior to 2/15/2020.
You do not have to have employees to apply. Sole Proprietors who file a schedule C with their tax return are eligible to apply.
The SBA has begun accepting EIDL loans again. This loan is based upon your credit worthiness. For small business owners, it has a 30-year term at a fixed interest rate of 3.75%. No payments for the first 12 months. This is a loan, not a grant, so you will have to pay it back. You can apply for these loans through the SBA website at https://www.sba.gov/page/disaster-loan-applications.