Disclaimer: This information was correct at the time of publication; however, new guidance from government agencies may be issued at any time, causing some or all of this information to change. Please visit our COVID-19 Business Strategy Hub for the latest news and ensure you are subscribed here to receive email alerts as they are released. We are working diligently to provide the most current information as it becomes available under our COVID-19 Actionable Insights For Businesses Series.

Today, the President signed into law an additional $310 billion in funding for the Paycheck Protection Program (PPP) loans administered by the U.S. Small Business Administration (SBA). Original 7(a) / PPP loan applications opened on April 3, 2020, with $349 billion in funding, and funds were exhausted nearly two weeks later, on April 16, 2020. PPP loans provided much-needed relief to millions of small businesses to help sustain operations and keep workers employed. During the first funding wave, the SBA approved more than 1.6 million loans submitted by approximately 5,000 lenders. The infusion of additional funds to the program will assist many struggling businesses that were unable to obtain loans initially.

Below is a breakdown of the new bill:

  • $310 billion of new funding for PPP loans, of which:
    • $60 billion in loans are set aside for smaller lending institutions:
      • $30 billion is for loans by FDIC-insured banks and credit unions that have assets between $10 billion and $50 billion.
      • $30 billion is for lenders with less than $10 billion in assets, including community banks, credit unions and community development financial institutions, which typically provide loans to low-income communities and those who have more restricted access to financing.
  • An additional $50 billion will go to SBA’s Economic Injury Disaster Loan (EIDL) program, which provides working capital loans of up to $2 million for small businesses. These funds are separate from the PPP loan program, and companies may use these funds to pay for expenses they would otherwise be unable to pay because of the pandemic, such as payments for fixed debts, payroll and accounts payable. The interest rate for EIDL loans is 3.75% for small businesses and 2.75% for not-for-profits.
  • $10 billion for small business grants of up to $10,000 for disaster relief to be disseminated by the SBA.
  • $75 billion for hospitals and $25 billion for coronavirus testing.

The bill does not include the additional funding for states and local governments.

What to do if your business missed the first round of PPP funding

If you did not apply or did not get funding during the initial round, you should act now. The second round of funding is expected to be exhausted even faster. Contact your existing bank right away. If you were unable to get your loan approved/funded through your current bank, consider contacting a community bank or a smaller credit union.

What to do if you already received PPP funding during the first round

If you already received PPP funding during the first wave, you may not apply for additional PPP loans under this new bill. However, you should begin to plan on how your business will apply for PPP loan forgiveness. We will be releasing a blog on this topic in the near future. Be sure to subscribe here to ensure you receive all future alerts.

What to do if you need help

If you need assistance, the Moore Colson team can assist you and your team with the following:

  • Calculating the 7(a) PPP loan amount
  • Helping your business apply for the 7(a) PPP loan
  • Calculating the PPP loan forgiveness amount
  • Assisting with the PPP loan forgiveness application
  • Assessing whether the Main Street Lending Program is right for you
  • Helping with short and long-term cash flow projections
  • Helping calculate the credits under FFCRA and CARES Act

Please click here to contact us or call us at 770-989-0028.

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Bert Mills, CPA, is the Managing Partner at Moore Colson. In his role, Bert sets the vision and mission of the Firm and works closely with the Firm’s leadership to drive and implement strategies. 


Andy Starnes, CPA, is a Partner and Tax Services Practice Leader Moore Colson. Andy’s specialties include corporate tax compliance and planning, business consulting and multi-generational planning with a focus on the construction, professional services and staffing industries.


Moore Colson CPAs and Advisors Chris Arnone Audit Practice Leader

Chris Arnone, CPA, is a Partner and Business Assurance Practice Leader at Moore Colson. Chris has over 20 years of experience providing audit, accounting and consulting services for companies in the transportation, manufacturing, distribution, staffing, private equity and venture capital industries.



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