January 13, 2021
On January 8, the U.S. Small Business Administration, in consultation with the U.S. Treasury Department, announced that the federal government’s Paycheck Protection Program (PPP) had reopened for new borrowers and some existing PPP borrowers. .
New eligible couriers can apply for a first-draw PPP loan, while eligible couriers who have already received a PPP loan can apply for a second-draw PPP loan. The deadline to apply for either loan is March 31, 2021.
The new PPP loan financing totaling $ 284 billion is made possible by the Law on Economic Assistance to Small Businesses, Nonprofits and Hard-Affected Sites, which is included in the Law on the consolidated appropriations adopted by Congress and signed by the president on December 27. 2020.
- PPP borrowers can set the period covered by their PPP loan to be between 8 and 24 weeks to best meet their business needs
- PPP loans will cover additional expenses including operating expenses, property damage costs, supplier costs, and worker protection expenses
- Program eligibility is broadened to include 501 (c) (6), housing co-ops, destination marketing organizations, among other types of organizations
- PPP offers greater flexibility to seasonal employees
- Some existing PPP borrowers may request to change the amount of their first-draw PPP loan
- Some existing PPP borrowers are now eligible to apply for a second draw PPP loan