The SBA PPP (Paycheck Protection Program) application period has been extended to May 31, 2021.
Businesses that have not applied in 2021 for a first draw or second draw (those that took PPP in 2020) will have an extended opportunity to use this program, if desired. PPP is a loan that can convert to a grant if certain criteria are met. PPP can be used for payroll, benefits, mortgage, rent, and utilities. PPP issues that remain a loan and do not convert to grant in 2021 have a term of 5 years with an interest rate of 1%. Sole Proprietors, Independent Contractors, and Self-Employed Persons are eligible this round.
PPP applications are accepted through financial institutions that are deemed “partners” by the SBA and include banks, credit unions and Community Finance providers such as CDFIs (Community Development Financial Institutions).
More on the program and an SBA financial partner list can be found here.
Press Release from the SBA can be found here.