The Paycheck Protection Program Has Closed. Here’s What You Can Do Now

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Funding Available Now That PPP Has Closed

On August 8, 2020, the Paycheck Protection Program (PPP) closed to new applicants. The program has been extended before, and as of this writing, Congress is debating whether, or how, to either extend the program again or deploy a new small business aid program altogether. We will update this page if and when that happens.

The PPP was originally slated to close to new applications on June 30. But with over $100 billion left unclaimed, the government gave small business owners another opportunity to apply for low-interest, forgivable loans if they’ve been impacted by the coronavirus pandemic.

If you did take out a PPP loan, your loan is not affected by this deadline extension. The August 8 cutoff refers to new applications only.

Of course, the pandemic is still very much a part of our lives here in the U.S., which means small businesses are not out of the woods yet. If you’re seeking other forms of financing, here’s what you need to know.

Is the Economic Injury Disaster Loan Still Available?

The PPP is the biggest government program for small business loans related to the pandemic, but it’s not the only option.

The economic injury disaster loan (EIDL) is available to businesses in all 50 states and all territories. The immense popularity of the program (and its accompanying “EIDL Emergency Advance” which grants applicants up to $10,000 in economic relief) wiped out its funding early on in the pandemic, but according to the SBA it is now once again accepting applications from eligible U.S. small businesses and agricultural businesses.

You can apply directly for an EIDL through the SBA. For more information on the program, visit our EIDL guide.

What Additional Federal Relief Is Available?

Loan programs are not your only avenues for coronavirus economic relief.

Look into whether you may be able to obtain enough financial relief from the employee retention credit, a new fully refundable payroll tax credit that you can take in lieu of the PPP. You can claim that credit immediately by reducing deposits of federal employment taxes, and claiming an advance of remaining credit through IRS Form 7200.

You can also begin exploring other SBA loan products. The SBA has a variety of small business loan options, including its popular SBA 7(a) loan program, its 504/CDC loan program, and its Microloan program.

Although these SBA loans aren’t quite as generous as the PPP—they are not forgivable, for example—nor are they as easy to qualify for, they are typically the best small business financing products available.

You can compare SBA 7(a) loans vs. PPP and EIDL loans with our guide.

Are Online Business Loans an Option?

Small businesses can look to online lenders to find business loans that are easier to qualify for than bank or SBA loans, and have a much faster approval time, as well.

These loans typically have higher interest rates than bank or SBA loans as a result. But if you are looking for quick funding in order to jump on a timely opportunity, or a loan to bridge the gap as you work your way back into the black following the pandemic, online loans could be a good option.

See Your Business Loan Options

What State and Local Resources Are Available?

Financial relief programs are not limited to the federal government. Your state or local government (city or county) may also offer financial resources to help you through this difficult time. Review our list of state-by-state resources to see what might be available.

Eric Goldschein

Eric Goldschein is the partnerships editor at Fundera.

Eric has nearly a decade of experience in digital media, writing and reporting on entrepreneurship, finance, business lending, marketing, and small business trends. 

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