On March 31, 2020, the U.S. Department of the Treasury and Small Business Administration (SBA) released the application form for businesses to apply for and obtain loans under the Paycheck Protection Program. This program, established under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), provides $349 billion for small business loans to cover qualified payroll costs; rent; utilities; and interest on mortgage and other debt obligations. To obtain a loan, a qualifying small business should submit an application through an SBA and Treasury approved bank, credit union, or nonbank lender.

Treasury has indicated that applicants can begin obtaining loans from participating lenders as soon as Friday, April 3, 2020 (for small businesses and sole proprietorships).

Happily, it looks like payments to 1099 contractors are included in the definition of "payroll", which should result in substantial relief to businesses to have any "gig" workers. Also great that those gig workers themselves can apply for loans -- even if just sole proprietors.

Here's the text of the final passed version of the CARES Act, HR 748 (it's imperative to look at the right version, as there were significant changes between the Senate and House versions).

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