On Dec. 27, the new stimulus package — formally called the Consolidated Appropriations Act, 2021 (the CAA) — became law. That’s good news for small business owners: one section of the CAA resurrects the Paycheck Protection Program (PPP) with better terms for borrowers.
Here’s what you need to know, starting with a brief history lesson.
The PPP was originally established by the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act) to make loans to small businesses affected by COVID-19-related economic fallout. That was a noble goal, but the original PPP deal expired on Aug. 8, 2020.