New SBA PPP Guidance Prioritizes Businesses and Nonprofits with Fewer Than 20 Employees
On Feb. 22, 2021, the Biden Administration and the U.S. Small Business Administration (SBA) issued new program guidelines for the Paycheck Protection Program (PPP).
The SBA will be implementing a 14-day exclusive PPP loan application period for businesses and nonprofits with fewer than 20 employees. This 14-day period begins Wednesday, Feb. 24 at 9:00 a.m. (ET) and ends on March 9th at midnight (ET).
Beginning the first week of March, the SBA will be implementing a new funding formula for PPP applicants who are sole proprietors, independent contractors, or self-employed individuals to receive more financial support.
The new guidelines will also eliminate restrictions on PPP access for small business owners with prior non-fraud felony convictions and remove federal student loan debt delinquencies and defaults as disqualifiers from participating in PPP.
Additionally, the new guidelines will ensure that non-citizen small business owners who are lawful U.S. residents can access PPP with an Individual Taxpayer Identification Number (ITIN).
Please visit the SBA website for more details.