Stimulus Bill Information Available From Sen. Bill Cassidy
There are a lot of questions about the $2.2 trillion stimulus bill that was signed by President Donald Trump last week. Information on how it affects Acadiana businesses is on Senator Bill Cassidy's website.
The Payroll Protection Program (PPP) with Loan Forgiveness. The U.S. Small Business Administration is authorized to provide a new category of 7(a) loans to small businesses, self-employed individuals, and gig-workers.
These loans of up to $10 million are 100% federally guaranteed with zero-fees. Forgiveness: Up to 8 weeks of average payroll and other costs are eligible for forgiveness if the business retains (or rehires) its employees and maintains their pay levels.
Loan Amount: The maximum size of these loans will be $10 million; however, the size of these loans will be subject to a formula that is the equivalent of 250% of an employer’s average monthly payroll.
Access to Loans: Loans will be available immediately through existing SBAcertified lenders. Many additional lenders will be brought into the program over the next few weeks.
Other Terms: Principal and interest is deferred for up to a year. Any loan amount not forgiven will have a loan term of not more than ten years, with a maximum interest rate of 4%. See Section 1102 and Section 1106 of the CARES Act for more detail.
Senator Cassidy was on Acadiana's Morning News today on KPEL. You can listen to the full interview below.