Press release from Mountain BizWorks:
Late Wednesday, the SBA published the new PPP rules and application form that will allow sole proprietors, independent contractors, and self-employed (entities that file an IRS Form 1040, Schedule C) to calculate their PPP maximum loan amount using gross income instead of net profit.
At this time these changes only apply to new PPP First Draw and Second Draw loans. Unfortunately, the new rules do not yet provide a way for already approved PPP loans to be increased. We hope that Congress and SBA will address this issue soon.
These changes will be very beneficial to these very small businesses who previously would have only qualified for minimal or even no PPP relief. It will also broaden access to PPP as Census data shows that firms with no employees are 70 percent owned by women and people of color, compared to 40 percent for businesses with employees.
To help serve newly eligible entities, Mountain BizWorks is re-opening our PPP application portal on a temporary and limited basis. We are only able to accept applications from newly impacted Schedule C filers and the portal will close on Wednesday March 17 or potentially sooner depending on application volume. For all other entity types, we have links on our PPP page to other financial institutions you can apply with.
Apply for PPP with Mountain BizWorks
If you’ve already applied with Mountain BizWorks, have not yet been approved, and could benefit from these changes, one of our PPP lenders will be in touch with you in the coming days with details on how to update your application.
Upcoming webinars: We have 2 webinars that will cover these new changes and walk through the application process in detail for sole proprietors, independent contractors, and self-employed individuals.This Friday, March 5, 4 – 5pm
Next Tuesday, March 9, 3 -4pmNeed additional help? If you have additional questions about PPP or other available COVID small business relief programs, you can schedule a time to talk with one of our disaster funding specialists here.
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