fbp
Small Business Paycheck Protection Program Overview

Written by Rob Stott

April 1, 2020

The Paycheck Protection Program provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. Funds can also be used to pay interest on mortgages, rent, and utilities.

Download the application for the Paycheck Protection Program right here.

An in-depth fact sheet on the program can be found right here.

For the most up-to-date information on this program and the application process please refer to the U.S. Department of the Treasury website.

Fully Forgiven

Funds are provided in the form of loans that will be fully forgiven when used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll). Loan payments will also be deferred for six months. No collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees.

Must Keep Employees on the Payroll—or Rehire Quickly

Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease.

All Small Businesses Eligible

Small businesses with 500 or fewer employees—including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietorships, and independent contractors— are eligible. Businesses with more than 500 employees are eligible in certain industries.

When to Apply

Starting April 3, 2020, small businesses and sole proprietorships can apply. Starting April 10, 2020, independent contractors and self-employed individuals can apply. We encourage you to apply as quickly as you can because there is a funding cap.

How to Apply

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. Other regulated lenders will be available to make these loans once they are approved and enrolled in the program. You should consult with your local lender as to whether it is participating. All loans will have the same terms regardless of lender or borrower. A list of participating lenders as well as additional information and full terms can be found at www.sba.gov.

The Paycheck Protection Program is implemented by the Small Business Administration with support from the Department of the Treasury. Lenders should also visit www.sba.gov or www.coronavirus.gov for more information.

 

Connect With Us!

More Podcasts

185: One Year In, Andy Orozco Recaps How NMG’s Custom Integration Division Keeps Innovating

185: One Year In, Andy Orozco Recaps How NMG’s Custom Integration Division Keeps Innovating

While his ambitions would have him and his team further down the road, Year One was an incredibly busy and successful one for Andy Orozco and Nationwide Marketing Group’s custom integration division. Coming off of CEDIA 2023 in Denver, we sat down with Andy to talk about the show, his first year at the helm, and more.

184: Class Is In Session with NMG’s Director of Education and Training Shawn Ashby

184: Class Is In Session with NMG’s Director of Education and Training Shawn Ashby

Coming off of his first full PrimeTime season, we sit down with Nationwide Marketing Group’s Director of Education and Training Shawn Ashby. We dive into his passion for educating audiences, his plans for the Nationwide Learning Academy, early preparations for the program in Las Vegas and much more.

183: Diving Into Pricing and Promotional Trends with Gap Intelligence

183: Diving Into Pricing and Promotional Trends with Gap Intelligence

During PrimeTime in Nashville, NMG’s consumer electronics retailers had the opportunity to hear from Gap Intelligence, a data analytics firm that tracks pricing and promotional trends across myriad product categories – mainly focused on CE right now. Scott Peterson, a senior analyst at Gap, spent time after the session diving deeper into their work and how they get it done.