Small Businesses: Payment Protection Program

PPP
February 10, 2021

Here are top 5 things small businesses should know about the re-opening of the Paycheck Protection Program:

  1. Small Businesses can begin to submit applications.
    The SBA is currently accepting Paycheck Protection Program (PPP) loan applications from participating community financial institutions (CFIs) and lenders with under $1 billion in assets. The program will open to all lenders on Tuesday, January 19, 2021. Borrowers can apply for a First Draw PPP Loan until March 31, 2021. Lender Match can help businesses find a participating lender.
     
  2. If a Small Business didn’t access a PPP loan prior to 12/27/2020, they may be eligible for a First Draw PPP loan.
    First Draw PPP Loans can be used to help fund payroll costs, including benefits, and may also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations. See First Draw PPP Loan Overview for more details. Translations available in Spanish and 16 other languages.
     
  3. SBA will ensure increased access to capital.
    Building on the success of the first round of PPP, SBA is continuing to address potential barriers to access to capital for minority, underserved, veteran and women-owned business concerns. The Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act (Economic Aid Act), includes set asides for new and smaller borrowers, for borrowers in low and moderate-income communities and for community and smaller lenders (Guidance).
     
  4. Second Draw PPP Loans are available
    Second Draw PPP Loans are available for eligible borrowers who previously received a PPP loan, have 300 employees or less, and have suffered a 25% reduction in gross receipts. Borrowers can apply for a Second Draw PPP Loan until March 31, 2021. See Second Draw PPP Loan Overview for more details. Translations available in Spanish and 16 other languages.
     
  5. FREE Business Resources
    Extensive business assistance is available through Connecticut SBA’s traditional and non-traditional resource partners. Including financial reviews, business planning, marketing and other tools and advice to assist small businesses as they navigate available economic relief funding options. For a complete list see Connecticut’s SBA Resource Guide.