Last year, $2.3 billion in forgivable PPP loans helped support more than 28,000 Maine small businesses and 250,000 jobs throughout the state
Washington, D.C.—U.S. Senator Susan Collins, a co-author of the Paycheck Protection Program (PPP), announced today that 2,433 Maine small employers were approved for a total of $221,560,725 in forgivable PPP loans between January 11 and January 24 according to the latest data from the U.S. Small Business Administration.
Last month Senator Collins secured $284.5 billion for PPP in the most recent COVID-19 relief package. Financial institutions across Maine and the country are currently accepting and processing PPP applications for eligible small businesses seeking a forgivable loan for the first time and for those hardest hit small businesses who may receive a second forgivable loan.
“The demand for the PPP from Maine small businesses in just the first two weeks of the program’s reopening underscores its vital importance,” said Senator Collins. “During the COVID-19 pandemic, these forgivable loans have been a lifeline for tens of thousands of small businesses and have supported hundreds of thousands of jobs across our state. Many small businesses, particularly those in the hospitality industry, have continued to struggle during the ongoing public health and economic crisis, which is why I strongly advocated for extending the PPP. I encourage eligible small businesses to contact their participating financial institution to apply.”
Small businesses that employ 300 or fewer people and that experienced a 25 percent or greater gross revenue loss between comparable periods in 2019 and 2020 due to COVID-19 are eligible to apply for a second forgivable PPP loan. In addition, forgivable overhead expenses are expanded to include supplier costs and investments in facility modifications and personal protective equipment needed to operate safely. In recognition of the severe impact that COVID-19 mitigation measures have had on the hospitality sector, in particular, the formula used to calculate the maximum forgivable loan amounts for second draw loans is enhanced for restaurants and hotels to equal 3.5x average monthly payroll. Further, small business owners that did not receive a PPP loan in the first round are also eligible to apply.
In 2020, more than 28,000 Maine small businesses and self-employed individuals received nearly $2.3 billion in forgivable PPP loans, helping to support more than 250,000 jobs throughout the state.