CHANGES MADE TO IMPROVE PPP LOAN PROGRAM

On June 5, the federal government approved changes to the Payroll Protection Program (PPP) that will ease the loan process for small businesses. The Denver Business Journal outlined the key changes:” Now small business owners will have 24 weeks to spend the loan proceeds, up from just eight weeks under the original program, and can spend up to 40% on nonpayroll expenses, up from just 25% before. The unforgiven portions of the loan will now have a five-year payback period, and small businesses can see more extensive forgiveness even if they are unable to hire back employees or return to the same level of business because of Covid-19 restrictions.” The deadline to apply for a PPP loan remains June 30.