The Biden administration has instituted a two-week period starting Wednesday, February 24th during which only businesses with fewer than 20 employees will be able to apply for Paycheck Protection Program (PPP) loans.
The administration said the 14-day exclusive application period is designed to help the 98% of small businesses that have fewer than 20 employees. Noting that these businesses often struggle more than larger businesses to collect the necessary paperwork and secure a PPP loan through a lender, the statement said that the targeted application window will free up lenders to focus on serving these smallest businesses.
The exclusive application window is one of several moves the White House said it is making to further target the PPP to the smallest businesses. The administration also will:
PPP loans have been approved for a total of $40 billion from January 11 through February 21. The application window for the current, $284 billion iteration of PPP is scheduled to close March 31.
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