The U.S. Small Business Administration’s Paycheck Protection Program is likely to become more flexible for small business owners, thanks to a set of changes that will expand how PPP funds can be used and will extend deadlines for repayment, among other provisions.
The changes, included in a bill dubbed The Paycheck Protection Flexibility Act, were approved by the U.S. House of Representatives in late May, and passed the Senate on June 4. The bill is now on its way to the president”s deskfor his expected signature. The changes are anticipated to be put into effect relatively quickly after that.
Here’s a rundown of what’s changing:
The loan repayment period will expand from two to five years. PT private practices and small businesses that received the PPP loans and are not eligible for loan forgiveness will have their deadlines for repayment to extended to five years after receiving the loan.