Posted On: April 5, 2021 by VGM Government Relations in: General
The application window for Paycheck Protection Program loan applications has been extended. President Biden has signed the PPP Extension Act of 2021 into law, which extends the application deadline for the popular Paycheck Protection Program for an additional two months. The deadline to submit applications was previously March 31, 2021, but because of the extension, the deadline is now May 31, 2021. In addition to the 2-month extension for applications, the Act also provides the SBA with an additional 30-day period to process applications that are still pending once that window does officially close.
While the PPP Extension Act of 2021 did not add any additional funding to the PPP, there are still billions of dollars in funding left in the program from previous rounds of funding. The SBA is still accepting first time applications as well as second round applications for those who qualify for a second PPP loan. As a reminder, a business may qualify for a second PPP loan if the borrower:
- Previously received a First Draw PPP loan and will or has used the full amount only for authorized uses
- Has no more than 300 employees; and
- Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020
Visit https://www.sba.gov/funding-programs/loans/covid-19-relief-options/paycheck-protection-program for more information.
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