In this 2-minute read:
- The Paycheck Protection Program Extension Act of 2021 extends the PPP to the end of June, 2021
- HOWEVER: the effective PPP application deadline for new loans is MAY 31, 2021
- No new PPP loans will be accepted by SBA after June 1, 2021
By now you’ve (hopefully) heard that the PPP has been extended… again. Due to the continuing urgent needs of America’s small businesses, small businesses, independent contractors, sole proprietors, and self-employed individuals who have been feeling the serious financial impacts of the COVID-19 pandemic the Paycheck Protection Program (PPP) loan application deadline has been extended.
H.R 1799 – PPP Extension Act of 2021 was signed into law by President Biden on March 30, 2021. This bill extends the previous March 31, 2021 PPP loan deadline to June 30, 2021. HOWEVER: for all new PPP loan applications, the EFFECTIVE DEADLINE IS NOT JUNE 30, 2021, BUT RATHER MAY 31, 2021.
Gig workers, freelancers, sole proprietors, independent contractors, self-employed individuals and more are eligible for PPP loans. Check your eligibility with Womply in as little as 5 minutes, and you could receive up to $50,000 in forgivable PPP loans!
The PPP Extension Act of 2021 extends the APPLICATION DEADLINE to May 31, 2021, NOT June 30, 2021
It’s very important to note that the “three month” extension to the PPP was effectively a TWO MONTH extension for applicants. The previous application deadline was March 31, 2021 (extended by the PPP Extension Act of 2021). And though the bill extends the program until the end of June, 2021, NO NEW PPP APPLICATIONS WILL BE ACCEPTED by the SBA after May 31, 2021.
Let’s have a look at the relevant language from the bill:
(c) RESTRICTION.—From June 1, 2021, through June 30, 2021, the Administrator of the Small Business Administration shall not accept new lender applications for loans under paragraph (36) or (37) of section 7(a) of the Small Business Act (15 U.S.C. 636(a)) and shall only process such lender applications that have been submitted to the Administrator before June 1, 2021.
It’s vital to understand that although the bill extends the Paycheck Protection Program to June 30, 2021, the bill’s language also places a restriction on the last 30 days, during which the SBA will accept no new PPP applications. Rather the SBA will only process PPP applications that have already been submitted to the SBA prior to June 1, 2021.
This effectively means that if you want to get a PPP loan, you absolutely need to hurry. If your lender hasn’t submitted your PPP application to the SBA prior to June 1, 2021, you will not be able to get your loan approved and funded. Start your PPP application now!
Get your application in before the new deadline! PPP Fast Lane simplifies the application process and helps you get up to $50,000 in forgivable stimulus funding
Contractors, gig workers, sole proprietors, and eligible self-employed individuals can qualify for up to $50,000 in forgivable PPP loans for 2021! We built Fast Lane for you.
- Simple, five minute data collection process
- Guides you through every step along the way
- Automated first and second draw loan applications