The PPP was amended on June 5 by the Paycheck Protection Program Flexibility Act of 2020 to expand some of the program’s provisions. The window to spend borrowed funds was extended from eight weeks to 24 weeks, and the repayment window for non-forgiven portion of loans was extended from two years to five years. The amendment reduces mandatory payroll spend of borrowed funds from 75% to 60%. Further, the amendment allows for forgiveness of loans even in some cases where the business is unable to restore its entire workforce.
There are over $100 billion available funds in the program’s budget, so businesses are still encouraged to apply. The PPP has injected $12 billion into Washington State’s economy so far and may be a valuable boost to small businesses striving to preserve their workforces through the downturn.
Visit the Small Business Administration Paycheck Protection Program site: