[UPDATE: On Saturday, July 4, 2020, President Trump signed a bill extending the deadline to apply for the Paycheck Protection Program (PPP).]
As an update to our earlier alert, as expected, President Trump signed legislation Saturday extending the deadline for small businesses to apply for the Paycheck Protection Program (PPP). The House of Representatives followed the Senate’s lead last week by unanimously passing the bill, which extends the PPP for five more weeks. The PPP loan application period is now extended through Aug. 8, 2020. Roughly $130 billion remains available from the $310 billion that was authorized in “Round Two” of the program, leaving plenty of funding for any small businesses that are in need of the funds and are eligible to borrow. As of now, businesses that already have received PPP loans may not apply for a second loan, although that may change if some lawmakers have their way.
In a statement, Senator Marco Rubio, Chairman of the Senate Committee on Small Businesses and Entrepreneurship, said “As the scope of the financial damage done to small businesses by the pandemic and resulting lockdowns has grown, it has become clear that longer-term support is necessary.”
So far, the program has given out roughly $520 billion in loans to nearly five million small businesses across the U.S.
If your small business hasn’t applied for a PPP loan yet but is still is considering it, this will give you additional time to do so. This earlier alert from us provides some information about how the program may now be more attractive to borrowers than it was at the outset.
Please reach out to Cary Zimmerman at email@example.com or 216.736.7275 with any questions you have about the Paycheck Protection Program or other financial relief programs available to small businesses.