The Cares Act under the PPP allocates $350 billion in government-backed loans from private banks to help small businesses keep workers employed amid the pandemic and economic downturn. In some cases, the loans can be converted to grants, meaning that the loan does not need to be paid back if you meet the requirements. Loans can be up to 250% of the borrower’s average monthly payroll costs, not to exceed $10 million.
According to current guidance, you are eligible if you meet the following criteria:
- A small business with fewer than 500 employees
- A small business that otherwise meets the SBA’s size standard
- A 501(c)(3) with fewer than 500 employees
- An individual who operates as a sole proprietor
- An individual who operates as an independent contractor
What Documentation You Will Need to Provide?
The PPP requirements may change over time, so we’ve provided a comprehensive list of all the documentation you will likely need to complete your application. These documents can be uploaded after your application has been submitted, but you should complete the process as quickly as possible.
Standard Small Business Documentation Needs
Payroll Reports:
- Payroll Register for the full 2019 year
- Payroll Register for all available months in 2020
Official Forms Recommended:
- 941 Quarterly Tax Filings for all 4 quarters of 2019 and Q1 of 2020
- 944 Annual Tax Filings for 2019
- 2019 IRS Form W-3
- 2019 IRS Form 1040-C if your business is a sole proprietorship
General Documents:
- Color copy of government issued ID (front and back)
- Organizational Documents