Business owners have more time to apply for the updated Paycheck Protection Program under a two-month extension authorized by the federal government. The most recent version of PPP includes:
- Updates to calculation and establishment of a $1 billion set-aside for sole proprietors, contractors, and self-employed individuals in low- and moderate-income areas,
- Elimination of certain restrictions for non-fraud felony convictions and student loan delinquency,
- More ensured access for lawful residents who are non-citizens, and
- Other administrative updates.
MMCDC will provide PPP loans to businesses meeting its criteria.
Our loans are designed for those businesses with a limited number of employees and that may face barriers accessing PPP funds, with a primary focus on rural businesses. — MMCDC President Julia Nelmark
As Community Development Financial Institutions, MMCDC and its fellow CDFIs direct the majority of financing to businesses in Investment Areas (low-income census tracts and counties); Native American-owned businesses; and Black- and Hispanic-owned businesses and others that may be deemed to be underserved, such as women-owned businesses. Other businesses may qualify based upon the income of the business owner. Eligible Investment Areas can be found by MMCDC staff based upon business address.
The U.S. Small Business Administration indicated at least $15 billion would be reserved for Community Financial Institutions to support underserved small businesses.
As an Approved PPP Lender, MMCDC works with borrowers to complete the PPP application for their business type and situation, as appropriate. Interested business operators are encouraged to contact Nicole Kirchner, Vice President, Business Development.
First Draw PPP Loans are for those borrowers who have not received a PPP loan before August 8, 2020. The first round of the PPP, which ran from March to August 2020, was a historic success helping 5.2 million small businesses keep 51 million American workers employed.
Second Draw PPP Loans are for eligible small businesses with 300 employees or less, that previously received a First Draw PPP Loan and will use or have used the full amount only for authorized uses, and that can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.