The Paycheck Protection Program (PPP) provides loans to small
businesses for payroll and certain non-payroll expenses. Created in
March 2020 by the Coronavirus Aid, Relief and Economic Security Act
(CARES Act), the PPP is administered by the Small Business
Administration (SBA) with help from the Department of the Treasury.
Specifically, a borrower that is an "eligible recipient"
as defined in section 7(a)(36) or 7(a)(37) of the Small Business
Act, as added by the CARES Act, as amended, may participate in the
PPP.
An eligible borrower must make certain good-faith certifications
in connection with its application for PPP assistance, including
that current economic uncertainty makes the loan request necessary
to support the eligible borrower's ongoing business operations.
Approved PPP loans, which are originated through participating
lenders, are 100% guaranteed by the SBA. Further, up to the full
principal amount of the loan may be forgiven. While the PPP was
extended
