Small Businesses can apply for Forgivable Loan Program on April 3
Small businesses can apply for the Paycheck Protection Program on April 3, which offers “loan forgiveness if proceeds used for payroll costs and other designated business operating expenses in the 8 weeks following the date of loan origination,” according to the U.S. Department of Treasury.
U.S. Congressman Garret Graves shared the following information this afternoon:
The SBA and Treasury Department have initiated implementation of the Paycheck Protection Program, which was created by the CARES Act passed by congress and enacted last week — authorizing up to $349 billion to provide small businesses with the capital they need. Banks and other lending institutions are mobilizing now.
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.
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.
More information can be found here.
The application can be found here.
Lenders can learn more here.
Feature photo by Photo by Vladimir Solomyani.