Am I eligible?
You might qualify for PPP loans if you’re a sole proprietor, gig worker, or self-employed. Pretty much anyone who has 1099 income can qualify for PPP loans. As long as you were in business on or before February 15, 2020, and you reported taxable earnings for 2019 or 2020, you can apply for PPP assistance.
How do I know if I’m self-employed?
The definition of self-employed or nonemployer encompasses a wide range of people. You’re likely self-employed if you fit into one of these categories:
- Gig worker
- Independent contractor
- Sole proprietor or small-business owner (with no employees)
Note: receiving W-2 income does not disqualify you from receiving a PPP loan if you receive income from any of the above sources.
If you receive self-employment income, you’re likely eligible for a PPP loan
Still not sure if you qualify? Check out our qualifications FAQ. Even if you’re not 100 percent sure, we recommend you go ahead and apply anyway. The application process will help you determine if you’re eligible for a PPP loan.
Where can I apply?
The application deadline for First Draw PPP loans ends May 31, 2021. You can apply through any SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, eligible nonbank lender, or Farm Credit System institution that’s participating in the PPP. All new First Draw PPP loans have the same terms regardless of the lender or borrower. Womply can help connect you with a lender. Start an application to learn more.
What documents do I need to apply?
Here are the documents non-employers should expect to provide when applying through Fast Lane:
- U.S. mobile phone number
- Your Social Security Number (or ITIN)
- US-based bank account
- Access to your tax records from 2019 or 2020. You must upload at least one of the following:
- IRS Form 1040 Schedule C 2019 (filed)
- IRS Form 1040 Schedule F 2019 (filed)
- IRS Form 1040 Schedule C 2020 (filed)
- IRS Form 1040 Schedule F 2020 (filed)
- IRS Form 1040 Schedule C 2020 (draft)
- IRS Form 1040 Schedule F 2020 (draft)
- Government issued ID, such as:
- Drivers License
- State ID
- Passport Card
- Permanent Resident Card
- Work Permit
Other eligibility questions
If you’re not sure if you qualify for a PPP loan, just apply! The PPP application process should quickly help you discover what’s necessary to apply, and whether you’re eligible. Still have eligibility questions? Check out our “Do I qualify for the PPP” section of the FAQ.
What can I use the funds for?
The proceeds of a PPP loan are to be used for:
- Payroll costs (as defined in the CARES Act, Economic Aid Act and relevant interim final rules);
- costs related to the continuation of group health care, life, disability, vision, or dental benefits during periods of paid sick, medical, or family leave, and group health care, life, disability, vision, or dental insurance premiums;
- mortgage interest payments (but not mortgage prepayments or principal payments);
- rent payments;
- utility payments;
- interest payments on any other debt obligations that were incurred before February 15, 2020;
- refinancing an SBA EIDL loan made between January 31, 2020 and April 3, 2020;
- covered operations expenditures (payments for any business software or cloud computing service that facilitates business operations, product or service delivery, the processing, payment, or tracking of payroll expenses, human resources, sales and billing functions, or accounting or tracking of supplies, inventory, records and expenses);
- covered property damage costs (costs related to property damage and vandalism or looting due to public disturbances that occurred during 2020 that was not covered by insurance or other compensation);
- covered supplier costs (expenditures made by a borrower to a supplier of goods for the supply of goods that—
- are essential to the operations of the borrower at the time at which the expenditure is made; and
- is made pursuant to a contract, order, or purchase order—
- in effect at any time before the covered period with respect to the applicable covered loan; or
- with respect to perishable goods, in effect before or at any time during the covered period with respect to the applicable covered loan); and
- covered worker protection expenditures
- operating or a capital expenditures to facilitate the adaptation of the business activities of an entity to comply with requirements established or guidance issued by the Department of Health and Human Services, the Centers for Disease Control, or the Occupational Safety and Health Administration, or any equivalent requirements established or guidance issued by a State or local government, during the period beginning on March 1, 2020 and ending the date on which the national emergency with respect to the COVID– 19 expires related to the maintenance of standards for sanitation, social distancing, or any other worker or customer safety requirement related to COVID–19;
- such expenditures may include:
- the purchase, maintenance, or renovation of assets that create or expand
- a drive-through window facility;
- an indoor, outdoor, or combined air or air pressure ventilation or filtration system;
- a physical barrier such as a sneeze guard;
- an expansion of additional indoor, outdoor, or combined business space;
- an onsite or offsite health screening capability; or
- other assets relating to the compliance with the requirements or guidance as determined by the Administrator in consultation with the Secretary of Health and Human Services and the Secretary of Labor; and
- the purchase of:
- covered materials described in section 328.103(a) of title 44, Code of Federal Regulations, or any successor regulation;
- particulate filtering facepiece respirators approved by the National Institute for Occupational Safety and Health, including those approved only for emergency use authorization; or
- other kinds of personal protective equipment, as determined by the Administrator in consultation with the Secretary of Health and Human Services and the Secretary of Labor; and
- such expenditures do not include residential real property or intangible property.
- the purchase, maintenance, or renovation of assets that create or expand
At least 60 percent of the PPP loan proceeds shall be used for payroll costs. For purposes of determining the percentage of use of proceeds for payroll costs, the amount of any EIDL refinanced will be included. For purposes of loan forgiveness, however, the borrower will have to document the proceeds used for payroll costs in order to determine the amount of forgiveness.
While the Act provides that PPP loan proceeds may be used for the purposes listed above and for other allowable uses described in section 7(a) of the Small Business Act (15 U.S.C. 636(a)), the Administrator believes that finite appropriations and the structure of the Act warrant a requirement that borrowers use a substantial portion of the loan proceeds for payroll costs, consistent with Congress’ overarching goal of keeping workers paid and employed. This percentage is consistent with the limitation on the forgiveness amount set forth in the Flexibility Act. This limitation on use of the loan funds will help to ensure that the finite appropriations available for these loans are directed toward payroll protection, as each loan that is issued depletes the appropriation, regardless of whether portions of the loan are later forgiven.
For more details, see Use of PPP Loan Funds FAQ
Do you charge a fee?
No. Applying through Womply (by using PPP Fast Lane or by creating a regular PPP application) is completely free for any eligible business. It’s illegal for any company to charge a borrower to access the PPP program.
Womply is not a lender. We receive compensation from our lender partners. The government pays lenders for providing PPP loans. Neither Womply nor any PPP lender will charge you to access the PPP.
What if I don't have a cell phone?
Currently the PPP Fast Lane can be set up only with a verified cell phone number. Your cell phone number helps keep your information secure. We use it to provide log-in codes you need to return to your application.
If you currently can’t provide a cell phone number, you can start an application that doesn’t use PPP Fast Lane.
Step by step directions of PPP Fast Lane
PPP Fast Lane helps guide you through the PPP loan process. Go to the application page to get started.
For help, review the steps in this video walk-through of the PPP Fast Lane application process:
Has SBA stopped accepting PPP applications?
On May 28th, 2021 the SBA stopped accepting PPP applications because the PPP program ran out of funding. You may contact Congress to ask them to add more PPP funding: Visit fairppp.com to make your voice heard.