By Susan Richwine; First Bank Richmond, Vice President – Marketing Director
The emergence of the COVID-19 virus in early 2020, ravaged life as we know it. Our daily lives and our nation’s economy were severely impacted when many businesses were forced to close or reduce occupancy to slow the spread of the virus. As the pandemic raged on, businesses and families continued to struggle and desperately needed assistance and guidance to weather the storm
The Coronavirus Aid, Relief, and Economic Security (CARES) Act passed by Congress in March 2020, and the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 provide fast and direct economic assistance for American workers, families, and small businesses, and preserve jobs for American industries. One of the key components of that plan, the Paycheck Protection Program (PPP) provided a lifeline to many local businesses who were struggling to survive.
The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on payroll. First 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.
PPP loans will be forgiven if all employee retention criteria are met, and the funds are used for eligible expenses.
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
Contact your local final institution or visit www.sba.gov or www.treasury.gov for more information and details.