Update: Revisions to SBA Paycheck Protection Program
US Senator Brian Schatz provided an update on revisions to the Small Business Administration’s Paycheck Protection Program for PPP loans. The information is to help the public navigate access to federal resources. He provided the following updates and revisions to the program.
Special application period for the smallest businesses
To give the smallest businesses a chance to secure a Paycheck Protection Program (PPP) loan, the Biden administration has announced that from Feb. 24, 2021 to March 10, 2021, only businesses with fewer than 20 employees may apply for a PPP loan.
Revisions to PPP Formula and Eligibility
The Biden administration also announced the following revisions to expand access to PPP loans.
- The SBA will revise the PPP loan formula for sole proprietors, independent contractors, and self-employed individuals so they can receive more financial support.
- The SBA will expand eligibility to include:
- Small business owners with prior non-fraud felony convictions;
- Small business owners who have fallen behind on student loan payments; and
- Non-citizen small business owners who are lawful US residents and have an Individual Taxpayer Identification Number.
These revisions will take effect in the upcoming days. Check the SBA website for confirmation of when they have been implemented.
More information about the Paycheck Protection Program and other small business programs is available here. For other resources, please visit the Small Business Administration or US Senate Committee on Small Business and Entrepreneurship. If you need additional assistance, reach out to your local Small Business Development Center, Women’s Business Center, SCORE chapter, or SBA District Office.