$310 Billion Available for Michigan Small Business
The Small Business Association of Michigan (SBAM) and Michigan Association of Certified Public Accountants (MICPA) announced today that businesses across Michigan are now able to apply for an additional $310 billion in Paycheck Protection Program forgivable loans through the U.S. Small Business Administration.
As of 10:30 a.m. today, April 27, small businesses are being encouraged to apply for this $310 billion in federal relief. Businesses that have a pending application are encouraged to verify their application status with their lender. Businesses that have not yet applied are encouraged to do so quickly.
“We recommend that businesses double check with your lending institution that your application is still in line for a PPP loan,” said Brian Calley, President, SBAM. “Businesses that haven't applied, please act quickly since this money will be committed in a very short time.”
More than 43,000 businesses in Michigan impacted by the COVID-19 outbreak received more than $10 billion in forgivable loans during the first round of PPP funding. Nationally, $349 billion was authorized for the initial round of PPP, all of which was committed by April 16 – less than two weeks after the application period opened – demonstrating the continued need for small business relief.
Michigan small businesses (per SBA size standards) – including hospitality and food industry businesses and sole proprietorships, independent contractors and self-employed persons – are eligible to apply for loans through The Paycheck Protection Program (PPP) to help ensure employees continue receiving paychecks. The PPP loans were designed to provide a direct incentive for small businesses to keep their workers on the payroll and may be forgiven if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities.
The MIpaycheckprotection.com website includes key PPP eligibility information, videos and instructions to help with the application process, information on authorized SBA lenders and more. This Michigan Paycheck Protection Program website was built through a collaboration between the Small Business Association of Michigan, Michigan Association of Certified Public Accountants (MICPA), the Michigan Economic Development Corporation and the Michigan SBDC.
“We encourage any small business looking for assistance through the PPP to act now,” said Bob Doyle, MICPA President & CEO. “There may not be additional PPP funding authorized by Congress in the future.”
“The additional PPP funds will provide critical capital for businesses facing a temporary loss of revenue as a result of coronavirus and protect the livelihoods for workers across the state that these businesses provide,” said Mark Burton, CEO of the Michigan Economic Development Corporation. “While we are looking at every resource possible to support our small businesses and workforce in the face of the significant challenges they are facing, we know that the Paycheck Protection Program will be paramount to economic recovery efforts in the state.”
Through the MEDC, michiganbusiness.org/covid19 also features other resources for businesses across Michigan to assist them in recovering from economic losses as a result of the COVID-19 virus. This includes U.S. Small Business Administration emergency loans, support services offered through the SBDC and more. The MEDC has also developed a FAQ for Michigan businesses and communities at michiganbusiness.org/covid19-faq.
Information around this outbreak is changing rapidly. The latest information is available at Michigan.gov/Coronavirus and CDC.gov/Coronavirus.