The Paycheck Protection Program (PPP) relaunched in December, with brand new applications being released on March 3, 2021. As a small-business owner, you’re being prioritized by lenders and given extra resources to keep your business on the ground.The Paycheck Protection Program (PPP) relaunched in December, with brand new applications being released on March 3, 2021. As a small-business owner, you’re being prioritized by lenders and given extra resources to keep your business on the ground.

To qualify for a second PPP loan, you must:

  • have used or allocated the full amount of your first-draw PPP loan
  • have less than 300 employees (full-time, part-time, or seasonal)
  • be able to demonstrate that your business has experienced a revenue reduction of at least 25 percent 

There are a few changes to the PPP this second time around. For example, those who filed Form 1040, Schedule C (usually the self-employed, sole proprietors, or independent contractors) may elect to use gross income instead of net profit to calculate their loan maximums. 

Also, PPP eligibility has been expanded to noncitizen, lawful U.S. residents, those behind on student loan payments, and those convicted of non-fraud felonies. 

Learn more about applying for your second PPP loan with our partner Gusto, then join AFEUSA so you can get unique discounts and benefits, including a three-month trial with Gusto’s small business specialized payroll and HR software! 

Article by Charles Jackson, President of AFEUSA

Charles Jackson AFE Board