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This is a DRAFT - Paycheck Protection Program, which is a program created by the CARES Act, is now open for application for small businesses and sole proprietors.
The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. You can apply through any existing SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating. Lenders may begin processing loan applications as soon as April 3, 2020. The Paycheck Protection Program will be available through June 30, 2020. This program could help you and your company obtain loans to help with payroll costs, interest on mortgages, rent, and utilities. You can also access this Small Business Administration backed program by reaching out to the bank with whom you already have an established banking relationship. The Economic Injury Disaster Loan Program is also taking applications as a part of the CARES Act program. The program will allow you to get a loan advance of up to $10,000 of economic relief for businesses that are currently experiencing temporary difficulties. Both programs are meant to support small scale businesses. The President signed into law more than $376 billion Treasury funds as crucial support for businesses during this time. This fund is now available. As a small business, you may be able to apply for both programs, subject to additional requirements and so long as the funds are used for different purposes. How You Apply: These programs are available to help you get access to needed relief and capital quickly. Here are steps to make the process as frustration-free as possible: STEP 1: Visit the Small Business Administration’s COVID-19 (SBA) resource center to review all programs STEP 2: Confirm your eligibility - small businesses, including sole proprietors and independent contractors may be eligible, and the loans may be forgiven if certain conditions are met. https://www.sba.gov/sites/default/files/2020-04/PPP--IFRN%20FINAL_0.pdf STEP 3: You can also apply at your existing bank for the Paycheck Protection Program using any of these applications: STEP 4: For better assessment - The SBA has 68 District Offices, as well as support provided by its Resource Partners, such as SCORE offices, Women’s Business Centers, Small Business Development Centers and Veterans Business Outreach Centers. When faced with a business need, use the SBA’s Local Assistance Directory to locate the office nearest you.
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