On March 31, 2020, the SBA issued initial guidance on the Paycheck Protection Program established under the CARES Act enacted May 27, 2020. This guidance is available at at the US Small Business Administration website .
Among other information in this guidance the SBA provides that:
- With respect to the forgiveness of a paycheck protection loan, at least 75% of the forgiven amount must have been used for payroll
- Lenders may begin processing paycheck protection program loan applications as soon as April 3, 2020
- This loan has a maturity of 2 years and an interest rate of .5%
- First payment deferred for six months
- If you wish to begin preparing your application, you can download a sample form to see the information that will be requested from you
- Download the Sample SBA Form at https://mcusercontent.com/
14f762d815c0f9b8420b63321/ files/66c7f4b9-c316-435c-b19c- 20618fea84b3/Sample_SBA_ Borrower_Paycheck_Protection_ Program_Application_0.pdf
Additionally, on March 31, 2020, the United States Department of the Treasury has provided a Paycheck Protection Program (PPP) Information Sheet. This PPP Information Sheet is available at https://home.treasury.gov/
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