👁🗨 Louis Boudreaux
WASHINGTON – The U.S. Small Business Administration, in consultation with the U.S. Treasury Department, re-opened the Paycheck Protection Program (PPP) loan portal for underserved smallest businesses, like minority proprietors, veterans, and women-owned businesses, according to a press release published on January 11, 2021.
Eligible small entities, that can apply together with their affiliates (if applicable) to access the PPP, have 500 or fewer employees—including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietorships, and independent contractors.
Entities with more than 500 employees in certain industries that meet SBA’s alternative size standard or SBA’s size standards for those particular industries can also apply:Businesses with a NAICS Code that begins with 72 (Accommodation and Food Services sector) or eligible news organizations with no more than 500 employees per physical location, as well as housing cooperatives, 501(c)(6) organizations, or destination marketing organizations with no more than 300 employees.
A few days later, additional lenders will be able to submit First and Second draw PPP loan applications. SBA also is calling upon its lending partners to redouble their efforts to assist eligible borrowers in underserved and disadvantaged communities.
First Round of the PPP supported 80% of Small Businesses
During these unprecedented times brought on by the COVID-19 global pandemic, SBA has worked with Congress, borrowers, and lenders of all sizes – including regional and community banks, Farm Credit System lenders, credit unions, fintechs, community development financial institutions (CDFIs), and minority depository institutions (MDIs) – to maximize access to the Paycheck Protection Program (PPP or Program).
In concordance with the Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act (Economic Aid Act), the first round of the PPP supported 51 million American workers and over 80 percent of small business payroll across all 50 states and territories. More than 87 percent of loans have been for $150,000 or less, with an average loan size of $101,000.
More than 70 percent of PPP loans have been made to businesses with fewer than 10 employees. The 27 percent of the funds went to low and moderate income communities meanwhile 15 percent of the total PPP loan amount, has been disbursed to small businesses in rural communities.
SBA Webinar on PPP for Nevada's Small Businesses
Tomorrow Tuesday January 12, 2021 at 2 PM, the Nevada SBA District Director Joseph Amato, in partnership with the Las Vegas Global Economic Alliance (LVGEA) will attend a webinar as speaker to discuss how re-opening of the PPP can benefit Nevadan business. The webinar will provide updated PPP guidance along with Q&A session.
Joseph Amato was appointed District Director for the SBA’s Nevada District Office in August of 2017. A former executive and business leader with over 30 years of experience in small business development and commercial lending, Mr. Amato oversees the delivery of Small Business Administration services in Nevada from the SBA’s Las Vegas District Office, and Carson City area office. A New York area native, Joseph Amato previously served as Executive Director of a Small Business Development Center, portfolio manager of a Community Development Corporation, and has worked in a variety of SBA lending and outreach programs. A successful entrepreneur, he started a small business which he later sold to a major financial institution. Mr. Amato has been recognized as SBA Financial Services Advocate of the Year for his outstanding work assisting small businesses.
All small businesses are encouraged to join and invite partners to the webinar. Register HERE to participate in the event.
Updated PPP Lender forms, guidance, and resources are available at www.sba.gov/ppp.