Dear M & M: I did not receive a Paycheck Protection Program (PPP) loan in the first round. Can I still get one? – Jim

Dear Jim: The application period opened January 11, 2021 right now it is extended to March 31, 2021. This is subject to change as we move forward. Eligible businesses or what is determined to be a business concern you must be one of the following (e.g., sole proprietorship, independent contractor, corporation, LLC, partnership), a tax-exempt nonprofit organization described in section 501©(3), 501©(6) or 501©(19) of the IRC, or a Tribal business concern described in section 31(b)(2)(C) of the Small Business Act.

The business or organization had to be in operation prior to February 15, 2020 (exceptions for seasonal businesses) and are not permanently closed. You must be a profitable business and show a profit on your tax forms to be eligible. The requirement of second draw (PPP) loans to show a sales loss of twenty-five percent is not a required part of a first draw (PPP) loan.

Loan proceeds can be used for payroll and payroll related costs, rent, mortgage interest, utilities, other debt service, refinancing of an EIDL loan made between January 30, 2020 and April 3, 2020, operations expenditures, property damage costs, supplier costs and worker protection expenditures. Sixty percent of loan funds must be used for payroll cost. Amount that can be borrowed – 2.5 x avg monthly payroll (applicant election of 2019 or 2020 operating year); there are different calculations for businesses without payroll, e.g., sole proprietorships and for some other types of businesses.

Don’t think just because you don’t pay employees wages you are not eligible. The interest rate is 1% and terms are up to five years. Payment on any unforgiven part if there is any start ten months after the end of your loan forgiveness period eight or twenty-four weeks (borrowers’ election). To apply contact your bank or credit union.

Go online and search to find eligible (PPP) lenders. You local SBDC has a list of places processing (PPP) applications if you need further help. If you don’t apply the answer is no. You will find the process isn’t as hard as one might think. Short answer to your question. Yes, apply today if you have not already done so.

Source: SBA PPP loans

ASK M&M is prepared and submitted by Mark Schmitt, director of the Small Business Development Center at Cochise College; and Mignonne Hollis, executive director at the Arizona Economic Development Foundation. To ask your questions: Call the Small Business Development Center (SBDC) at Cochise College (520) 515-5478 or email schmittm@cochise.edu or contact the Arizona Regional’ Economic Development Foundation at (520) 458-6948 or email hollism@aredf.org; www.aredf.org.