MYRTLE BEACH, S.C. (WBTW) – A new program will open Wednesday for two weeks targeting relief for small businesses with fewer than 20 employees.
Since the beginning of the pandemic, small businesses have had the most trouble getting loans from the Paycheck Protection Program (PPP).
Nearly 400,000 U.S. small businesses have permanently shut down during the pandemic, according to the Small Business Administration (SBA).
For 14 days, the new program will open to only small businesses and nonprofits with fewer than 20 employees.
According to South Carolina SBA representatives, as long as small businesses submit their applications within the new two-week time frame, they prioritize them.
The $284 billion in PPP loans is devoted to target small business relief and pave the way for these groups to receive long-awaited help.
The new program also includes a few changes that initially kept people from applying and prioritizing loans for some of our smallest businesses.
Several eligibility restrictions have been lifted, including one that kept small business owners with prior non-fraud felony convictions from obtaining relief through the PPP.
Sole proprietors, individual contractors, and self-employed can now calculate their loans differently to increase loans and receive more support.
Previously, self-employed people calculated their loans using net profits instead of gross income, which failed to capture the full costs sole proprietors and independent contractors faced. The new formula intends to help increase substantial loans.
“They are also taking away some of the restrictions like people who were delinquent on student loans, they want them to now be able to apply and be eligible for PPP loan, and also some of the immigrant small businesses here in the U.S. will now be eligible with their ITINS as well,” Wilburn said.
Small business prioritization for the new program will go through March 9 at 5 p.m. eastern time.
Afterward, businesses can still apply, but they will not have priority.
If you have questions, reach out to the SBA district office at 803-765-5377.
You can also reach out to local Myrtle Beach resource partners, including the Small Business Development Center at 843-349-4010.
To access free counseling assistance to help you with the PPP application and learn more ways to help you recover, call this number, 843-918-1079.
For more details and the PPP updates, click here.