ROCHESTER, Minn. (KIMT3 News) – The Rochester Area Chamber of Commerce is helping to break down the elements of the new Federal COVID-19 Relief bill.
During the chamber’s Path Forward 2021 webinar series on Friday law firms Dunlap & Seeger, PA, along with Smith Schafer & Associates, LTD, helped explain the latest Paycheck Protection Program with changes passed by Congress.
There’s a “second draw” PPP option for small businesses who have exhausted their initial loan as well as changes that impact eligibility for initial loans and the loan forgiveness process.
In order to qualify for a second PPP draw the business must have used up the first loan as well as have 300 employees or less (which is down from 500 employees in the first and second round of PP) then owners will have to be able to meet the “necessity requirements.”
Dave Pederson with Dunlap & Seeger explained, “It’s the same thing in the certification that you had previously signed in your PPP application which is the uncertainty of current economic conditions makes necessary the loan request to support ongoing operations.”
Congress also made changes to other programs including Economic Injury Disaster Loans, the Employee Retention Tax Credit and SBA Loan Programs.
You can find a link to the U.S. Chamber of Commerce guide to small business covid-19 emergency loans by clicking here.