Earlier today, the Biden-Harris Administration announced several critical provisions to safeguard and assist the country’s most vulnerable entrepreneurs and microbusiness owners. The Association for Enterprise Opportunity (AEO) applauds the Administration for utilizing targeted-based approaches to implement necessary changes in federal small business relief programs.
Over the last several months, AEO has called for Washington lawmakers and regulators to provide direct and immediate support to underserved and overlooked small business owners. As a founding member and sponsor of the Page 30 Coalition, we’ve proudly worked with 60-plus industry-leading organizations to ensure that federal small business relief makes its way through the entire main street ecosystem, including mission-based lenders like Community Development Financial Institutions.
We stand ready to ready to continue our work with the Biden-Harris Administration to create economic opportunities for underserved entrepreneurs throughout our nation. Highlights of the provisions are as follows:
- Only businesses with fewer than 20 employees will be able to apply for loans beginning on Wednesday. This period will last a total of two weeks.
- Revise and amend the PPP loan calculation formula for sole-props, independent contractors, and self-employed applicants to ensure they receive more relief and establish a $1 billion set aside for businesses in this category without employees located in LMI areas.
- Expands PPP eligibility to small business owners with non-fraud felony convictions.
- Allows firm owners who are delinquent on their federal student loans to receive a PPP loan.
- Expands PPP eligibility to non-citizen small business owners who are lawful U.S. residents.
You can learn more about the additional provisions and changes by reading the White House Fact Sheet published this morning.