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Payroll protection loans available for nonprofits and small businesses

January 25, 2021

Nonprofit organizations and small businesses with fewer than 500 employees can apply for support as part of the $2 trillion Coronavirus Aid, Relief and Economic Recovery (CARES) Act.  The forgivable loans are designed to help organizations keep their employees on the payroll between now and the end of June 2020.

The Small Business Administration will administer the loans through already-approved lenders. If the loan recipient keeps employees on the payroll for eight weeks after receiving the loan and uses it for allowable expenses, the loan is effectively converted to a general operating grant. 

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