Paycheck Protection Program (PPP)

Funder: U.S. Small Business Administration (SBA) / U.S. Department of the Treasury

Forgivable loan program created under the CARES Act to support small businesses, sole proprietors, independent contractors, self-employed persons, and eligible nonprofit organizations during COVID-19 pandemic.

Eligible Applicants:

• Small businesses
• Sole proprietors
• Independent contractors
• Self-employed persons
• 501(c)(3) non-profit organizations
• 501(c)(19) veterans organizations
• Tribal businesses

Program Updates:

• Launched April 3, 2020
• Round 2 resumed April 27, 2020
• As of May 2020: 3.8+ million loans processed totaling over $500 billion
• Round 2: 2.2 million loans approved, $175 billion approved, average loan size $79,000
• Approximately $135 billion still available (as of May 2020)
• Paycheck Protection Program Flexibility Act (PPPFA) signed June 5, 2020, expanding eligibility and modifying terms
• Eligibility expanded for applicants with felony convictions (look-back period reduced from 5 to 1 year for non-financial felonies)

Regional Distribution (as of May 2020, Round 2):

• Alaska: 3,920 loans worth $338.7 million
• Idaho: 12,411 loans worth $719.8 million
• Oregon: 31,119 loans worth $3 billion
• Washington: 50,288 loans worth $5 billion

Languages Available: Spanish, Arabic, Chinese (Mandarin/Cantonese - Simplified and Traditional), French, German, Gujarati, Haitian Creole, Hindi, Italian, Japanese, Korean, Polish, Portuguese, Russian, Tagalog, Vietnamese

How to Apply

1. Connect with a Lender: Applicants must connect with one of 5,400+ approved SBA lenders
2. Use PPP Lender Finder: Visit PPP Lender Finder or contact local SBA office
3. Submit Application: Lender submits PPP application form (revised versions available per PPPFA guidance)
4. Loan Forgiveness: After 8-week covered period, borrowers apply for loan forgiveness using SBA Forgiveness Application

Required Information

Forgiveness Application includes:

• Options to calculate payroll costs using "alternative payroll covered period" aligned with regular payroll cycles
• Flexibility to include eligible payroll and non-payroll expenses paid/incurred during 8-week period after loan disbursement
• Step-by-step instructions for forgiveness calculations
• Exemptions from forgiveness reduction based on rehiring by June 30
• Good-faith written offer to rehire (if declined) exemption

Revised Application Changes (per PPPFA):

• Updated loan maturity provisions
• Modified loan payment deferral terms
• Updated forgiveness provisions
• Expanded eligibility for applicants with felony criminal histories