Under changes spearheaded by the Biden administration, the U.S. Small Business Administration today opens an exclusive PPP loan application for businesses and nonprofits with fewer than 20 employees.
The 14-day exclusivity window was designed to give sole proprietors, independent contractors and the country’s smallest businesses a head start in the race for additional PPP funding, according to a news release.
Self-employed individuals, sole proprietors and independent contractors can receive a higher amount of financial support through the new formula, while non-citizen business owners that are lawful U.S. residents or executives that have defaulted on federal student loans are now also eligible to participate in the program.
“The SBA is a frontline agency working to create an inclusive economy, focused on reaching women-owned, minority-owned, low- and moderate-income, rural, and other underserved communities in meaningful ways,” SBA Senior Advisor Michael Roth said in the release. “While reported data illustrates we have made real strides in ensuring these funds are reaching underserved communities, we believe we can still do better. The important policy changes we are announcing further ensure inclusivity and integrity by increasing access and much-needed aid to Main Street businesses that anchor our neighborhoods and help families build wealth.”