Paycheck Protection Program Goes Live Today
The newly enacted Paycheck Protection Program (Small Business Loan Program) will officially go live today (click here to read the Interim Final Rule). The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities.
A new application was posted online last night. Note that a few lenders will be ready to go today, but most will be ready next week. ATA has been told to advise members to go to their own bank and those banks that are already 7(a) lenders will likely be ready faster, but all FDIC institutions will be brought on board in the coming days.
As this article (Banks warn of chaotic launch of small business lending program) suggests, if you are interested in applying for such a loan, do not be surprised if the process is a bit chaotic. We recommend that you apply as early as possible. Click here to link to a tool you can use to find a nearby lender eligible to issue a loan under the Paycheck Protection Program.
Click here to visit the SBA’s Paycheck Protection Program website that has a lot of helpful information about the program and links to resources.
The Paycheck Protection Program prioritizes millions of Americans employed by small businesses by authorizing up to $349 billion toward job retention and certain other expenses.
Small businesses and eligible nonprofit organizations, Veterans organizations, and Tribal businesses described in the Small Business Act, as well as individuals who are self-employed or are independent contractors, are eligible if they also meet program size standards.
- For a top-line overview of the program CLICK HERE
- If you’re a lender, more information can be found HERE
- If you’re a borrower, more information can be found HERE
- Final Borrower Application Form
- Lender Electronic Data Form
- Paycheck Protection Program – Interim Final Rule
Information provided by American Trucking Associations, Inc.