More PPP loan money available
LIHU’E – Kaua’i County said in a video Friday that the US Small Business Administration launched a new round of funding for the Paycheck Protection Program on Friday, Jan.15, and the county is encouraging homeowners to small businesses to apply locally. , participating lenders.
“The SBA recently relaunched the Paycheque Protection Program, which provides forgivable loans to small businesses,” Mayor Derek Kawakami said in an email. “We recognize that businesses are struggling everywhere, and we are doing all we can to support our economy while prioritizing the health and safety of our community.
“It’s a tough balance, and that’s why we’re grateful for opportunities like this that can help businesses that have suffered lost revenue due to the pandemic,” said Mayor Derek Kawakami. He said a PPP loan can help a business cover its salary expenses and retain employees.
The county said the program provides forgivable loans to businesses that have suffered a loss of income of at least 25%. Small businesses with 300 or fewer employees are eligible. PPP loans can be used to cover payroll and other eligible expenses.
“We encourage our local businesses to research this option and discuss the details with a participating local lender,” Kawakami said.
Local Kaua’i lenders participating in the program include Kaua’i Government Employees Federal Credit Union, Gather Federal Credit Union, Hawaii USA Federal Credit Union, Bank of Hawai’i, Central Pacific Bank and the First Hawaiian Bank.
“The SBA has enabled community development finance institutions to begin accepting applications,” said KGEFCU COO Sean Kaley. “Our CDFI status allows us to start the PPP First Draw loan application process now. We will be accepting PPP Second Draw loans through our online portal when it is available at www.kgefcu.org/ppp.
According to Kaley, CDFIs are mission-driven financial institutions dedicated to proving that financial services meet the needs of economically disadvantaged people in underserved communities. The deadline to apply is March 31st.
The US Department of the Treasury said at least $ 25 billion was set aside for second-draw PPP loans to eligible borrowers with up to 10 employees, or for loans of $ 250,000 or less to eligible borrowers in the United States. low and moderate income neighborhoods. However, for borrowers in the accommodation and food service industries, the maximum loan amount for a second drawdown of the PPP loan is 3.5 times the average monthly salary costs of 2019 or 2020, up to $ 2 million. of dollars.
“The new funding round will help small Hawaiian businesses fill their payrolls and provide people with paychecks,” US Senator Brian Schatz said in a press release.
“I encourage all small Hawaiian businesses to check out our online resource guide, speak with their lenders, and learn more about how to get help. Schatz said that the first drawdown of PPP loans is for borrowers who have not yet received a PPP loan. The first round of PPP loans, which ran from March to August 2020, provided 25,000 loans totaling $ 2.5 billion to small Hawaiian businesses, helping to retain more than 225,000 jobs in the state. To learn more about PPP eligibility and program details, visit the SBA website, sba.gov/ppp.