Update #4 – Financial Impacts of Covid-19 Legislation
Just a few hours ago President Trump signed an extension to the Paycheck Protection Program.
We anticipate the second round of funding will be dispersed quickly since many loans that were previously approved, but not funded, in the first round of $349 million. Some new aspects of the $484 million round #2 funding include:
- $310 Billion to replenish the SBA’s Paycheck Protection Program
- $75 Billion for Hospitals
- Additional Funding for the EIDL (Economic Injury Disaster Loan)
If you haven’t yet applied for a loan, or have not heard back on your loan’s status from your bank, you can apply at other financial institutions. We’ve heard that some community banks are lending to those who are not customers, and some online institutions are also accepting applications.
As a reminder, PPP loans can be used for payroll costs, including retirement plan funding, employer paid group health insurance premiums, mortgage interest or rent, and utilities.
A recent CNBC.com article provides an overview of the how to navigate applying for the program. Find it here.
We will provide more information on PPP loan tracking to ensure you qualify.