FORT WORTH (CBDSFW.COM) – The deadline for small businesses to apply for a Payment Protection Program loan was extended to May 31, but money in the program will likely run out weeks before then.
In an effort to reach small businesses that previous struggled to obtain financial assistance, the federal government recently changed the PPP rules for sole proprietors, independent contractors, and self-employed individuals.
Along with these changes, President Biden extended the deadline to apply for a PPP loan by two months to May 31.
However, with all the changes, no additional funding was added.
“That was the catch,” said Lisa Simpson with the American Institute of CPAs. “The funding is going out at about $2 billion a day, so there could only be another 15 days or less of funding left for small businesses.”
Simpson said with the rule changes many small business owners are just now realizing they qualify for help but unless owners act soon the money will be gone.
To date, more than 10 million PPP loans have been approved totaling more than $770 billion.