The Paycheck Protection Program (PPP) provides SBA guaranteed loans that can be forgiven to the extent that the loan proceeds are used for certain payroll costs, interest on mortgages, rent, and utilities. These costs must be incurred and paid during the eight weeks after the loan is made and forgiveness is based on retaining employees during that time.
Fact Sheet is found here: https://home.treasury.gov/system/files/136/PPP–Fact-Sheet.pdf
Loan payments under the PPP will be deferred for six months. Any amount not forgiven will bear interest at a maximum 0.5% rate and mature two years after the forgiveness amount is applied. No collateral or personal guarantees are required. If you are a business owner or manager and would like relief under this progr
Applicable covered expenses may include:
- Salary
or wages and payments of cash tips;
- For a sole proprietor or independent contractor this means wages, commissions, income, or net earnings from self-employment, capped at $100,000 on an annualized basis for each employee.
- Health benefits;
- Retirement benefits;
- State and local taxes;
- Vacation, family, medical and sick leave;
- Rent, under lease agreements in force before February 15, 2020;
- Utilities, for which service began before February 15, 2020;
- Mortgage interest obligations, incurred before February 15, 2020; and
- Interest on other debt obligations incurred previous to February 15, 2020.