SBA Paycheck Protection Loan Program Details
- Up to $10 million
- Maximum loan size is equivalent to 250 percent of the employer’s average monthly payroll costs
|Eligible Business Size
- 500 employees or less
- Small businesses, nonprofits, Tribal business concerns, and veteran’s organizations
- Business like hotels are included!
- Not to exceed 4 percent during the covered period
- Not less than 6 months and not more than 1 year (including payment of principal, interest, and fees)
|Terms of Loan Forgiveness
- Loan recipients will be eligible for loan forgiveness for an 8-week period after the loan’s origination date in the amount
equal to the sum of the following costs incurred during that period:
- Payroll costs (compensation above $100,000 excluded)
- Payment of interest on mortgage obligation
- Rent obligations
- Utility payments
- The amount forgiven cannot exceed the amount borrowed.
- Loan forgiveness will be proportionally reduced if the average number of employees is reduced during the covered period as compared to the same period in 2019. The amount of loan forgiveness will be reduced by the amount of any reduction in total employee salary or wages during the covered period that is in excess of 25 percent of the total salary or wages.
- Payroll documentation and documentation of expenses are required to receive forgiveness, to ensure the forgiveness was used to retain employees and pay expenses.
- Borrowers that rehire laid off workers by June 30 won’t be penalized for having a smaller workforce at the beginning of the period.
- Borrowers with tipped workers may receive loan forgiveness for the additional wages paid to those employees.
- Lenders have 60 days to issue a decision on the application.
- The canceled loan amount will not count towards gross income for tax purposes
- Borrowers are eligible for loan forgiveness equivalent to the sum spent on covered expenses during the eight-week period after the loan is originated.
|Covered Loan Period
- Retroactive to February 15, 2020, through June 30, 2020
- Payroll expenses
- Health care benefits
- Retain employees
- Cost of Operating Business
- Mortgage interest obligations
- Interest on other debt obligations incurred previous to Feb. 15, 2020
- Mortgage or Rent
- Good faith certification that the loan is necessary because of economic uncertainty caused by COVID-19 and will be applied to maintain payroll and make required payments.
- Borrower must also certify that they are not receiving this assistance and duplicative funds for the same uses from another SBA program.
- No collateral or personal guarantee are required.
|Appropriated Amounts for Program
We are here to help get you the disaster relief you are entitled to, and help you retain your employees and business. Simply download the application below, fill it out, and email it to email@example.com, and we can get your funds in as little as 72 hours. If you have any questions, CALL 877-350-9416, our team of experts are ready to assist.