Beginning tomorrow, April 3, small businesses and sole proprietors can begin applying for the Paycheck Protection Program (PPP) – a provision of the Federal CARES Act.
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.
Under this program:
• Eligible recipients may qualify for a loan up to $10 million determined by 8 weeks of prior average payroll plus an additional 25% of that amount.
• Loan payments will be deferred for six months.
• If you maintain your workforce, SBA will forgive the portion of the loan proceeds that are used to cover the first 8 weeks of payroll and certain other expenses following loan origination.
Here is a guide prepared by the U.S. Chamber answering key questions you may have.
We believe all local financial institutions in Cape Girardeau County along with neighboring counties will be participating in this program. Please reach out to your financial institution with questions or to begin the application process.
Finally, we urge all small business owners (less than 500 employees) negatively affected by the pandemic to research the opportunities offered through the PPP and the SBA Economic Injury Disaster Loans Program.
Marketing and Communications Specialist, Cape Chamber
Office: 573.335.3312 | Cell: 636.696.6501