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Loans available to small businesses?
There are two types of loans available:
Paycheck Protection Program (PPP) loans aim to provide the liquidity that small businesses need to support employees throughout the coronavirus crisis and not have to resort to lay-offs.
Health and government officials are working together to maintain the safety, security, and health of the American people. Small businesses are encouraged to do their part to keep their employees, customers, and themselves healthy.
Small Business Administration (SBA) Economic Injury Disaster Loan (EIDL) will help small businesses recover for broader economic injury related to the outbreak.
Here’s a quick breakdown of each loan program:
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Paycheck Protection Program (PPP)
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Economic Injury Disaster Loan (EIDL)
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Loan Period
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February 15, 2020 to June 30, 2020
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January 31, 2020 to December 31, 2020
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Maximum Loan Amount
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$10 million
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$2 million
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Eligible Borrowers
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Any small business, private or non-profit, veterans service group, or food and hospitality businesses with less than 500 employees or meets SBA size standards
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Businesses in operation as of Feburary 15, 2020
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Self-employed individuals
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Independent contractors
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Sole proprietorships
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Any small business, private or non-profit with less than 500 employees or meets SBA size standards
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Self-employed individuals
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Independent contractors
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Sole proprietorships
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Debt Forgiveness
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Loan forgiveness may be applied to 8 weeks' worth of funds allocated for payroll cost, mortgage interest, rent, and utility expenses incurred after receiving funding.
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Loan forgiveness may only be applied to the $10,000 emergency cash grant.
The cash grants will also be credited towards the maximum forgivable amount under any PPP loan.
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You can find more information about the loans on our recently updated Coronavirus Stimulus Package page. We will continue to share updated information on the CARES Act as they evolve.
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