Big changes are coming to the Small Business Administration’s Paycheck Protection Program.The U.S. Senate approved the Paycheck Protection Program Flexibility Act of 2020 on June 3 following the May 28 approval in the U.S. House of Representatives. The bill was signed into law on June 5.The new law amends the signature lending program of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which is designed to help small- and medium-sized businesses cope with revenue losses associated with COVID-19 restrictions and shutdowns.Key changes as detailed by the law firm FisherBroyles LLP include:
PPP lending was reactivated in late April after the $349 billion initially allocated was exhausted in less than two weeks.A Congressional spending bill replenished the PPP fund with another $310 billion. However, borrowers have been more reluctant to obtain PPP funding in the second round amid increased scrutiny of the program.A CNBC report indicates more than $120 billion remained available for PPP loans as of May 30. Through that date, the SBA has issued 4.4 million PPP loans totaling $510.2 billion combined.About us: As the Heartland’s leading employer services company, Syndeo partners with local business owners to help them minimize risk, improve efficiency and maximize profitability allowing them the freedom to focus on growth and fulfilling their mission. Syndeo fulfills its mission by taking on all of the HR responsibilities for our clients’ workforce, including employee relations, benefits, risk management and payroll.Winner of the 2020 Best of HR Services Award through ClearlyRated for providing superior client service. See our ClearlyRated profile here.