Big Sky Economic Development News

America Rescue Plan Act – Small Business Assistance Components

Mar 12, 2021

America Rescue Plan Act – Small Business Assistance Components Details below:

Full release HERE.

Paycheck Protection Program (PPP) – an existing program offering loans to small businesses which are forgivable if at least 60 percent of the money is used for payroll expenses. The other 40 percent may be used for mortgage interest, rent, utilities, PPE, or certain other business expenses.

  • Adds another $7.25 billion of funding
  • Expands eligibility to include more non-profit organizations
  • The deadline, March 31, was not extended, so application must be approved by that date.

 

State Small Business Credit Initiative (SSBCI) – allocates $10 billion for state governments to leverage private capital through low-interest loans and other investments to help small businesses recover.

 

Economic Injury Disaster Loan (EIDL) – allocates an additional $15 billion to this existing SBA program to assist small businesses in underserved areas, especially minority-owned businesses.

 

Restaurant Revitalization Fund – $29 billion is allocated to create a new grant program focused on direct relief to restaurants and bars. This will be administered by the SBA. They will provide guidance and develop the grant application in the coming weeks.

 

Shuttered Venue Operators Grants – this program, created by the earlier economic aid package, provides relief to theaters, museums, concert and other venues shut down due to COVID restrictions.

  • Allocates another $1.25 billion to the program
  • Removes restrictions on such operators also applying for PPP loans

 

Small Business Administration

  • Increases SBA budget by $1.325 billion to help it administer these programs.

For funding of the overall bill is for relief for families, assistance for the unemployed, aid to state and local governments, help for education, and public health and vaccinations information click HERE.