A day before the Small Business Administration (SBA) Paycheck Protection Program (PPP) was set to expire on March 31, President Joe Biden signed a two-month extension into law.

The program, which provides forgivable loans to cover businesses’ payroll and other costs, is now open for applications through May 31, 2021. Though the term “paycheck” is used in the program name, businesses are not required to have traditional employees to access the program, and applicants do not necessarily need to draw a traditional paycheck. Sole proprietors, independent contractors, and some other self-employed individuals are eligible to apply. You can learn how to apply for a PPP loan here.

SBA also recently announced that beginning the week of April 6, the agency will increase the maximum amount that borrows can receive through the Economic Injury Disaster Loan (EIDL) program from $150,000 to $500,000. Those low-interest loans are available to small businesses and nonprofit organizations that are experiencing a temporary loss of revenue, including agricultural businesses with fewer than 500 employees. Furthermore, the deferment period for all disaster loans, including COVID-19 EIDLs, will extended until 2022 to give businesses more time to build back.

Learn more about EIDL program changes here.

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