Navigating COVID-19 Services and Resources

1. COVID Relief and Your Small Business
January 15, 2021

2.  PPP reopened the week of January 11 for new
borrowers and certain existing PPP borrowers.
 As of today, PPP Loans can be obtained from:
 Community Financial Institutions
 Lenders with <$1B in assets
• All eligible lenders will be accepting PPP
applications on 1/19.
Payroll Protection Program - Overview
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3. 2021 PPP - Eligibility
Criteria First Draw Loans Second Draw Loans “True Up” Loans
Borrower  Businesses with < 500
employees that are not
publicly listed and do not
engage in lobbying
 Sole Proprietors, independent
contractors, and eligible self
employed
 Non-profits, including charities
and churches
 501(c)(6) organizations
 Businesses with < 300
employees that are not
publicly listed and do not
engage in lobbying
 Sole Proprietors, independent
contractors, and eligible self
employed
 Non-profits, including charities
and churches
 501(c)(6) organizations
Eligible borrowers who
received PPP in 2020, but
returned all or part of the
money
COVID
Impact
Not applicable 25% gross receipts loss in 2020 vs.
2019, or in any quarter of 2020 over
the matching quarter in 2019
Not applicable
Use of
2020 PPP
Not applicable Have used or will use the full
amount of 2020 PPP on eligible
expenses
Not applicable
PPP Loan
Amount
2.5X Average Monthly Payroll 2.5X Average Monthly Payroll for
most, 3.5X for
Hospitality/Restaurants (NAICS 72)
2.5X Average Monthly
Payroll

4. Issue 2020 PPP New 1st Draw PPP 2nd Draw PPP
Time Period 4/2020 to 8/2020 1/2021 to 3/31/2021
Eligibility
Requirements
In business as of
2/15/2020
Same as 2020 PPP
<500 Employees Same as 2020 PPP <300 Employees
No Business Reduction
Required
Same as 2020 PPP 25% reduction in gross receipts
in one Quarter in 2020 vs 2019
Included Public
Companies, Lobbying
Groups, and owners
based in PRC/HK
• Excludes Public Companies, Lobbying Groups, and
owners based in PRC/HK
• Adds Housing Coops, News Organizations,
501(C)(6) organizations, and businesses in
bankruptcy
Max Loan 2.5X Average Monthly
Payroll, up to $10M
Same as 2020 PPP 2.5X Average Monthly Payroll,
up to $2M or 3.5X for
restaurants/hospitality (NAICS
72)
Application of
Affiliation Rules
Waiver for Restaurants
and Hotels with <500
employees
Same as 2020 PPP Waiver for Restaurants and
Hotels with <300 employees
PPP - Comparisons

5. Permitted Uses (Draw One and Draw Two)
Payroll (at least 60%)
Rent/mortgage interest
Utilities
Payments for Software, Cloud Computing, or Accounting Needs
PPE/COVID modifications
Supplier costs on orders prior to taking out the loan, except perishable
goods, which are permitted before or during the life of the loan
Covered Period
Borrower can choose covered period between 8 and 24 weeks
PPP - Permitted Uses

6.  Make sure you have access to your 2019 tax return
(schedule C, K-1, or business return)
 Update your 2020 P&Ls so that you can:
• Show Revenue Loss of a minimum of 25% between any quarter in
2020 over the matching quarter in 2019
• Other operating expenses (especially rent, utilities, and cost of
PPE and other COVID-related expenses such as extra cleaning,
creation of barriers, etc.)
 Gather Payroll Reports to calculate your Average
Monthly Payroll
Be Prepared!
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7. How WBDC can help:
 Technical Assistance applying for PPP, including
counseling for bilingual clients & child care providers
 Group Support sessions on Tuesdays
 Q&A with SBA CT District Office representatives,
Thursdays at 2:00 PM
 Opportunity Fund grants to help you pivot and grow
your business
– WBDC Equity Match Grant Information Sessions, 10:00 AM
on Wednesdays
You’re Not Alone!
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8. www.ctwbdc.org
Thank you for attending!
For additional help:
Visit www.ctwbdc.org to register for a class.
Contact us at 203-751-9550 x111 /
info@ctwbdc.org to book a one-on-one counseling
appointment.