U.S. Treasury Announces Next Round of PPP Loans
The U.S. Treasury and Small Business Administration (SBA) rolled out a new round of the Paycheck Protection Program (PPP) last week. Businesses will be able to use PPP funding over a period of eight to 24 weeks. This new round is said to be more flexible and clearly defined than the previous round of loans.
Lenders began accepting applications for new PPP loans on January 11. The program started with small lenders accepting applications for new PPP loan borrowers, with larger lenders accepting applications shortly after the launch. Small lenders began accepting applications for second-draw loans on January 13, and all lenders are expected to take second-draw loan applications after January 19.
SBA also released a streamlined forgiveness application form (Form 3508S) for borrowers who received PPP loans of $150,000 or less on January 19.
Impact on General Dentistry: AGD is glad that SBA is implementing additional PPP loans to give small businesses a tool to access additional relief. Many small-business owner-dentists continue to be negatively impacted by the pandemic and may be able to leverage this program to benefit their practices. Second Draw PPP Loans are for eligible small businesses that previously received a First Draw PPP Loan and will use or have used the full amount and that can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.
Lenders began accepting applications for new PPP loans on January 11. The program started with small lenders accepting applications for new PPP loan borrowers, with larger lenders accepting applications shortly after the launch. Small lenders began accepting applications for second-draw loans on January 13, and all lenders are expected to take second-draw loan applications after January 19.
SBA also released a streamlined forgiveness application form (Form 3508S) for borrowers who received PPP loans of $150,000 or less on January 19.
Impact on General Dentistry: AGD is glad that SBA is implementing additional PPP loans to give small businesses a tool to access additional relief. Many small-business owner-dentists continue to be negatively impacted by the pandemic and may be able to leverage this program to benefit their practices. Second Draw PPP Loans are for eligible small businesses that previously received a First Draw PPP Loan and will use or have used the full amount and that can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.