By now, you’ve probably heard of the Paycheck Protection Program (PPP). For small business owners, this federal loan program was set to close to applicants at the end of June. Just four hours before the program was set to expire on June 30, a bill passed to extend the program. President Trump signed the “PPP Extension Act” on July 3, which means that eligible borrowers now have until August 8 to apply for funds and receive loans with forgiveness terms.
The goal of the program is to provide a loan that will help to pay employees’ salaries, mortgage payments and operational costs. Over 4.8 million small businesses have already submitted their applications to receive aid from the government during the coronavirus pandemic.
Before the program expired, there was still $130 billion left unused. The application process is still set up to be reviewed on a first-come, first-serve basis.
Not to be confused with the Paycheck Protection Program Extension Act, there was another bill recently signed regarding PPP. The Paycheck Protection Program Flexibility Act of 2020 (PPPFA) slightly amends the original PPP forgiveness terms.
Here’s a look at what got updated:
If you fall into one of the following categories, then you are eligible to apply to receive a Paycheck Protection Program loan:
To apply, you have to fill out the necessary documents and submit an application online.
Some applicants for PPP have been denied. While there are many reasons why your PPP application could be rejected, it doesn’t mean that your funding options stop there. At Uplyft Capital, our goal is to provide small businesses with nearly immediate funding through our merchant cash advance programs.
Merchant cash advances could be better than loans for some businesses for several reasons. Some of the benefits are that you don’t need a high credit score for a cash advance, the repayment terms are relative to your monthly sales, there’s no personal guarantee, and there are no strings attached. This money is yours to use for whatever you need, not just for payroll or operational costs.
Even if a merchant cash advance is not the right fit for you, you can leverage Uplyft Capital’s marketplace to find a loan provider that is tailored to your needs.
There’s nothing new to say about how dramatically impacted small businesses owners have been at the hands of the coronavirus pandemic. But, the upside is that there are many ways to still keep afloat by applying for financial aid from outside sources. Whether it’s through the government’s PPP program and its extension, or through Uplyft Capital’s programs or a different lender, it is possible to get funding fast.
Running a SMB is rife with its fair share of challenges, but finances shouldn’t be your main point of worry. Follow these best steps to maintain strong financial health!