President Trump has signed into law legislation that would loosen provisions of a federal loan program intended to help small businesses deal with the pandemic, giving the business owners more time and flexibility to use the money.
The bill would change the Paycheck Protection Program (PPP) so that businesses would have 24 weeks, rather than eight weeks, to spend the loan monies. It also pushes back a deadline to rehire workers (from June 30 to Dec. 31) and reduces the amount of money that must be used on payroll, from 75 percent to 60 percent, so that more funds may be used for rent, utilities and mortgage interest. In addition, it extends the time for repayment.
