Who is eligible to receive a PPP Loan?
Only certain businesses are eligible to receive a PPP loan, and these specifications are different for first-time loan recipients and second-draw recipients.

 

To be eligible for a first-draw PPP loan:
Your business has less than 500 full-time, part-time, or seasonal employees.
Your business was operational before February 15, 2020 and remains operational.

To be eligible for a second-draw PPP loan:
Your business has less than 300 full-time, part-time, or seasonal  employees; if you have multiple locations, you may not have more than 300 employees per location.
You are able to demonstrate a revenue reduction of at least 25% in the first, second, or third quarter of 2020 (when compared with the same quarter in 2019).
You have used or will use the full amount of the first-draw PPP.
Your business was operational before February 15, 2020 and remains operational.

 

Businesses eligible for first- and second-draw PPP loans include:
Sole proprietors
Independent contractors
Self-employed individuals
Certain non-profits (the new bill has expanded eligible businesses to include certain 501(c)(6) non-profit organizations)
Seasonal employers; the new bill has clarified the definition of these to be businesses that operate no more than seven months within a year or earn no more than a third of gross receipts within a six-month period
Faith-based organizations that have less than 150 employees
Housing cooperatives that employ less than 300 people