Mar 31

The SBA's Paycheck Protection Program (PPP) will provide cash-flow assistance through 100% federally guaranteed loans to employers who maintain their payroll during this emergency.

Key Information

Starting April 3, 2020, small businesses and sole proprietorships can apply. Starting April 10, 2020, independent contractors and self-employed individuals can apply. Applicants are encouraged to apply as quickly as possible because there is a funding cap.


Sample application for borrowers.


You can apply through any existing SBA lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating.

  • PPP's various features include forgiveness of up to 8 weeks of payroll based on employee retention and salary levels, no SBA fees, and at least six months of deferral with maximum deferrals of up to a year.
  • Small businesses and other eligible entities will be able to apply if they were harmed by COVID-19 between February 15, 2020 and June 30, 2020.
  • Your max loan will be equal to 250% of your average monthly payroll during a qualifying period of time.
  • Loans are available through June 30, 2020.
Read a PPP information sheet for borrowers, which includes full eligibility requirements.

Who is eligible

  • All businesses - including nonprofits, veterans organizations, Tribal business concerns, sole proprietorships, self-employed individuals, and independent contractors - with 500 or fewer employees can apply.
  • Businesses in certain industries can have more than 500 employees if they meet applicable SBA employee-based size standards for the industries.

Additional Resources

The U.S. Chamber of Commerce issued this guidance to help small businesses prepare to apply for a loan.


Please note, this article is provided for information purposes only. All information is preliminary and is subject to change. Businesses should consult with their accountants, attorneys, bankers, or local SBA Small Businesses Development Center for guidance.