How do i apply for the coronavirus small business loan

## How to Apply for the Coronavirus Small Business Loan

The Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was signed into law on March 27, 2020, includes several provisions designed to help small businesses weather the economic fallout of the COVID-19 pandemic. One of the most significant provisions is the Paycheck Protection Program (PPP), which provides forgivable loans to businesses that maintain their payroll during the crisis.

**Who is eligible for a PPP loan?**

To be eligible for a PPP loan, a business must meet the following criteria:

* Be a small business with fewer than 500 employees
* Have been in operation for at least two years
* Have a physical location in the United States
* Have a valid Employer Identification Number (EIN)
* Not be engaged in illegal activities

**What are the terms of a PPP loan?**

PPP loans are available in amounts up to $10 million. The loan amount is based on the business’s average monthly payroll costs for the year prior to the loan application. The loans have a maturity of two years and an interest rate of 1%.

**How can I apply for a PPP loan?**

PPP loans are available through participating lenders. To apply for a loan, you will need to submit a loan application and supporting documentation to your lender. The loan application will require you to provide information about your business, including your business name, address, EIN, and number of employees. You will also need to provide documentation of your payroll costs.

**What are the deadlines for applying for a PPP loan?**

The initial deadline for applying for a PPP loan was June 30, 2020. However, the deadline has been extended to December 31, 2020.

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**How can I get help with my PPP loan application?**

The Small Business Administration (SBA) has a number of resources available to help small businesses apply for PPP loans. You can visit the SBA’s website at www.sba.gov for more information. You can also contact the SBA’s customer service center at 1-800-659-2955.

## Frequently Asked Questions about PPP Loans

**Q: How much can I borrow under the PPP?**

A: The maximum loan amount is $10 million. The loan amount is based on the business’s average monthly payroll costs for the year prior to the loan application.

**Q: What is the interest rate on PPP loans?**

A: The interest rate on PPP loans is 1%.

**Q: What is the maturity of PPP loans?**

A: The maturity of PPP loans is two years.

**Q: What are the requirements for loan forgiveness?**

A: PPP loans are forgivable if the business uses the funds to maintain its payroll and other eligible expenses. The amount of forgiveness is equal to the amount of the loan that is used for eligible expenses.

**Q: How do I apply for a PPP loan?**

A: PPP loans are available through participating lenders. To apply for a loan, you will need to submit a loan application and supporting documentation to your lender.

**Q: What are the deadlines for applying for a PPP loan?**

A: The initial deadline for applying for a PPP loan was June 30, 2020. However, the deadline has been extended to December 31, 2020.

**Q: How can I get help with my PPP loan application?**

A: The Small Business Administration (SBA) has a number of resources available to help small businesses apply for PPP loans. You can visit the SBA’s website at www.sba.gov for more information. You can also contact the SBA’s customer service center at 1-800-659-2955.

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