Biden Administration Announces Measures to Target PPP Loans to Smallest Firms
February 26, 2021
Specifically, the White House said that the Small Business Administration would:
- Provide an exclusive 14-day window, starting Wednesday, Feb. 24, when only businesses with fewer than 20 employees are eligible to apply.
- Set aside $1 billion for PPP loans for sole proprietors, independent contractors and self-employed individuals in low-to-moderate-income areas and revise the loan calculation formula for these applicants. (According to press reports, the revised formula would only be available to new applicants, not retroactive.)
- Eliminate a rule restricting businesses at least 20% owned by an individual who was arrested for or convicted of a felony related to financial assistance fraud in the previous five years or any other felony within the previous year; the restriction will only apply to businesses with applicants or owners who are incarcerated from receiving PPP loans.
- Eliminate a rule restricting businesses at least 20% owned by an individual who is delinquent on student debt from receiving PPP loans.
- Clarify that non-citizens may apply using individual taxpayer identification numbers.
To prompt more applicants to self-report demographic data, SBA has already updated the loan application form to include demographic data on the front page, the White House said. Read more
To assist you in gathering the documentation needed, please visit our Paycheck Protection Program page for helpful resources, including a Quick Reference Guide and answers to commonly asked questions.
First Northern Bank has launched a new automated system for your Paycheck Protection Program Loan. This easy and intuitive application system will allow you to submit your application within minutes and provide you with convenient features.
Ready to start? Apply online by visiting ppp.thatsmybank.com.
All of us at First Northern Bank look forward to serving you. Should you need any assistance with the Paycheck Protection Program, please contact our PPP Support Team by emailing non-account related information to PPPSupport@thatsmybank.com or calling (707) 678-3041.