We have been doing a lot of research on these new loan programs and we wanted to pass along to clients, friends and family on what we have learned. The forgivable loan program is called the PPP (Paycheck Protection Program) and here are some bullet points to get you up to speed.
Available loan money ($349 billion) will most likely run out so get ahead of the rush.
The loan amount is calculated based on 2.5 times your monthly payroll costs PPP - Fact Sheet (Important detailed information here)
If you use the loan for payroll costs, mortgage interest, rent or utilities over 8 weeks after getting the loan there is a good chance it will be fully forgiven.
Nearly all businesses with fewer than 500 employees are eligible. This includes non-profits.
April 3, 2020 is the starting date for applications for small businesses and sole-proprietors.
April 10, 2020 is starting date for applications for independent contractors and self-employed.
Loans are processed through your local bank or credit union. Applications should be available online but it is advised to call your local branch ahead of time to speed up the process.
Feel free to reach out to us if you have any questions as we would be happy to help. We are are not able to fill out the applications for you but we can help answer any questions you have.
Stay safe out there and good luck!