Help for small businesses during the COVID-19 pandemic

APR 20, 2020

Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act to minimize the impact of the COVID-19 pandemic. Included in the Act is the Paycheck Protection Program (PPP) designed to provide small businesses with support to continue to keep their workers on the payroll.

The Small Business Administration (SBA) implements the PPP which is designed to support small businesses . If the small business meets program size standards they should be eligible. That includes:

Small businesses and eligible nonprofit organizations
Veterans organizations
Tribal businesses described in the Small Business Act
Individuals who are self-employed or are independent contractors

Paycheck Protection Program and lenders

The Small Business Administration will delegate authority to SBA-certified lenders to process applications from small businesses under the Paycheck Protection Program. In addition to SBA-certified lenders, federally insured depository institutions and credit unions as well as Farm Credit System institutions will be available to apply to be approved as lenders for the program.

Additional resources for small businesses and their employees

The CFPB is providing consumers with up-to-date information and resources to protect and manage their finances during this difficult time. Additionally, the CFPB offers financial education tools and information for consumers.

Editorial note: This blog was originally posted on April 6, 2020, and has been updated on April 20, 2020.