secure plus financial
SBA PPP Loan
What is the paycheck protection program?
The Paycheck Protection Program (PPP) is a loan program under the Coronavirus aid, Relief, and Economic Security (CARES) Act aimed to provide relief to small businesses affected by the COVID-19 pandemic.
The SBA PPP loan assists small businesses to keep workforce on payroll, cover operational costs, mortgage interest, rent, and utilities. Small businesses keeping their workforce employed are eligible for PPP loan forgiveness.
Paycheck Protection Program FAQ
If your business was in operation before 2/15/2020, you are considered eligible for PPP First Draw or PPP Second Draw loans.
PPP First Draw
- Businesses with 500 or fewer employees
- Sole proprietors, independent contractors and self-employed individuals
- 501(c)(3) non-profit organizations, 501(c)(19) veterans’ organization, and religious organizations.
- Added 501(c)(6) eligible organizations
- Added Housing Cooperatives & News Organizations
- Certain entities who are involved in bankruptcy proceedings
PPP Second Draw
- Allows eligible PPP First Draw borrowers to obtain PPP Second Draw
- Less than 300 Employees
- Has or will use the full amount of PPP First Draw for allowed expenses (this prevents a borrower applying for PPP First draw to immediately apply for PPP Second Draw)
- Can demonstrate at least 25% reduction in gross receipts during any calendar quarter in 2020 compared to the same calendar quarter in 2019
We have a 4-step process to review and prepare your SBA PPP Loan application successfully:
1. Schedule an Appointment (It’s free!)
2. Prepare all the required documentation such as business information, identification, and supporting evidence of payroll expenses; if you are a business applying for a PPP Loan:
- Form 941: Quarterly Tax Filings (2019 and 2020 Q1)
- Form 944: Employer Annual Federal Tax Return (2019)
- Payroll Register and Bank Statements: Previous 12 months
If you are an Independent Contractor (1099) or self-employed individual applying for a PPP Loan:
- Form 1040: Schedule C
- Form 1099
- Income and Expense report for 2019
- Bank Statements: Previous 12 months
3. Our team will review your application, request any additional documentation, and follow up all the process to submit your Paycheck Protection Program application successfully.
4. Follow up with your email for additional instructions once a PPP lender accepts your applications and offers you a PPP loan.
Paycheck Protection Program Updates
A few weeks ago, the Biden Administration passed new legislation helping Schedule C’s and Independent contractors with the ability to gain more PPP funding
Today March 30, 2021 President Joe Biden signed the PPP Program Extension, postponing the deadline to May 31, 2021. How does this affect you?
The Paycheck Protection Program is back, do you know about the recent changes to the program?
Are you struggling to find Financial Guidance during the COVID-19 hardship?
We’ve been helping clients with disaster relief, survival budgeting, and cash management plans since March!