The latest round of Covid-19 economic relief from Washington DC is available to 501(c)(3) and 501(c)(6) nonprofit organizations, such as professional associations and chambers of commerce, to pay staff and cover operating costs. Religious organizations are also eligible for the second round of PPP Loans.
PPP Loans Available for Nonprofits in 2021
If your nonprofit took a Paycheck Protection Program Loan in 2020, you may be eligible for a second draw PPP Loan in 2021. Your business qualifies if you have fewer than 300 employees and had a decline in gross receipts of at least 25% in any quarter of 2020, compared to the same quarter in 2019.
Gross receipts include the total amount received from all sources, but do not include funds from the initial PPP Loan.
Nonprofits: submit your PPP Loan application
PPP Approved Lender for Nonprofit Businesses
Approved PPP lender Liberty SBF is now accepting applications from nonprofits through its secure, customized PPP Loan portal, which can process and approve applications quickly and efficiently.
As a non-bank lender with over 10 years of experience providing low-cost capital to small business owners, Liberty SBF facilitated over 3,200 loans in the sum of more than $350 million in the last round of Paycheck Protection Program lending. The company has extensively invested in new resources and hired back office staff to process thousands of PPP loan applications per day.
About the new round of Paycheck Protection Program Loan relief: The Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act authorizes up to $284 billion toward job retention and certain other expenses through March 31, 2021 and allows borrowers to apply for a Second Draw Paycheck Protection Program Loan. Many businesses who already received a Paycheck Protection Program Loan will be eligible for a second draw. Those small business owners who missed out on PPP Loans the first time can still get a first draw loan in this next round.
Similar to first draw, second draw PPP Loans are on a first come, first served basis, so nonprofit organizations should apply as soon as possible to secure funding.
Click here to begin your PPP Loan application.