Stimulus Ppp Loan Update

The sba guaranteeing 100 of the loans.

Stimulus ppp loan update. These include but are not limited to. The legislation includes a very favorable update to the paycheck protection program ppp for farmers and ranchers and also provides the u s. On december 27 2020 president trump signed into law a 908 billion relief package.

Eligible second time borrowers must have no more than 300 employees. If you got a ppp loan in the first round you can get a second draw ppp loan provided your business does not employ more than 300 employees has used or will use the full amount of the first ppp and can demonstrate at least a 25 percent reduction in gross receipts in the first second or third quarter of 2020 relative to the same. Under the new ppp program some small businesses can apply for a second ppp loan of up to 2 million.

If your ppp loan was for 150 000 or less there will be a new simple one page form to apply for forgiveness. The second loan called a ppp second draw loan is targeted to smaller and harder hit businesses. Your lender should provide you a link to a form soon in the new year.

Small business administration sba with an additional 284 billion for ppp loans 20 billion for economic. The terms and conditions of the second draw ppp loans are subject to the same terms and conditions as first draw ppp loans. On december 27 2020 president trump signed the 2021 consolidated appropriations act which also contained the latest stimulus relief bill part of that bill was the economic aid to hard hit small businesses nonprofits and venue act which made changes to all paycheck protection program ppp loans re opened the ppp program for new loans and allowed certain borrowers to obtain a second ppp.