Paycheck Protection Program Extended to August
The United States Senate has passed an extension of the Paycheck Protection Program for small businesses. With funding left over, the program will continue to accept applications until August 8, 2020. PS Bank is an eligible SBA lender and can help you through this process.
This program provides cash-flow assistance through 100% federally guaranteed loans to eligible employers who maintain their payroll through this emergency. Eligible employers are generally considered to be those small businesses, including nonprofits, sole proprietorships, independent contractors, and eligible self-employed individuals, with less than 500 employees.
PPP loan money used for payroll in accordance with guidelines do not have to be repaid.
Eligible small businesses may receive up to 2.5 times average monthly payroll costs as calculated by applicable guidelines. Payroll costs are defined to include salaries, wages, other similar compensation, vacation, sick and other qualified leaves, group health care benefits, retirement benefits, and state or local tax assessed on employee compensation (also subject to certain limits). Loan proceeds may be used to pay payroll costs, health insurance, interest on mortgage obligations, rent, utilities, interest on other debt, and certain other allowable uses. Most importantly, these loans may be eligible for forgiveness.
Please feel free to reach out to your PS Bank lender or use our inquiry form so we can provide you with the most accurate and up-to-date information regarding the CARES Act Paycheck Protection Program by clicking below.