- Published: Friday, January 22, 2021 02:15 PM
CHICAGO –Assistant Majority Leader Tony Munoz (D-Chicago) is encouraging small business owners who need economic relief to look into the Small Business Association newly reopened Paycheck Protection Program.
“Small business owners have been hit hard by the COVID-19 pandemic, and this funding will provide support to the shops and restaurants that are still struggling,” Munoz said. “I encourage local business owners to apply for these programs to support themselves and their employees.”
The Small Business Association has reopened the Paycheck Protection Program, a loan designed to provide a direct incentive for small businesses to keep their workers on payroll. Businesses with 300 employees or less and at least a 25% reduction in gross receipts between 2019 and 2020 are eligible to apply.
First Draw PPP Loans and Second Draw PPP Loans can be used to help fund payroll costs, including benefits, and may also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020 and certain supplier costs and expenses for operations. Second Draw PPP loans are for businesses that have already received a PPP loan and may be eligible to receive another. At least $25 billion is being set aside for Second Draw PPP Loans to eligible borrowers with a maximum of 10 employees or for loans of $250,000 or less to eligible borrowers in low- to moderate-income neighborhoods. The deadline to apply for both loans is March 31, 2021.
Another assistance opportunity, the Shuttered Venue Operators Grant program makes $15 billion in grants available to shuttered venues, to be administered by the SBA’s Office of Disaster Assistance. The application is not open yet, but more information is available here.
To help constituents understand the new programs, the Illinois Department of Commerce and Economic Opportunity is offering webinars. A full list of webinars is available here.