Small business owners encouraged to contact a lender and apply for the Paycheck Protection Program through the Small Business Administration
Salt Lake City, UT (April 7, 2020) – Small business owners were strongly encouraged to apply for financial assistance through the recently passed Paycheck Protection Program by Governor Gary Herbert and Economic Task Force Chair Derek Miller, and lenders were thanked for their quick and efficient work with businesses in an effort to mitigate the economic effects of the coronavirus.
“Every Utah business with less than 500 employees that has been impacted by COVID-19 should apply for a PPP loan, Emergency Disaster Loan, or both,” said Herbert. “Our banks, credit unions, and all qualified Utah lenders are working overtime to assist not only existing customers but new customers, as well.”
The Paycheck Protection Program is available to all businesses — including nonprofits, veterans organizations, tribal business concerns, sole proprietorships, self-employed individuals, and independent contractors — with 500 or fewer employees. The two-year term loans have a fixed rate of 1.0%. The unsecured loans do not require collateral or personal guarantees by the borrower. No borrower or lender fees are payable to SBA. The maximum loan amount is $10 million or two-and-a-half times the business’s average monthly payroll costs.
“This is the most important thing we can do right now to support the Utah economy, our businesses and families,” noted Miller when discussing the program. “The capital that comes to businesses — that goes to pay employees and pay rent and other operating expenses — flows through the economy. The Utah Leads Together Plan identifies federal stimulus as one of the most important ways Utahns, employers and the overall economy can get through the Urgent Phase. It’s the fuel that will keep our economic engine running. Every business impacted by COVID 19 should apply.”
The purpose of the Utah Economic Response Task Force is to connect people with available business resources and provide technical assistance through the Rapid Response Team. This team has more than 50 volunteers from over 20 Utah organizations and has already assisted over 600 Utah small businesses. Additionally, the Task Force has compiled a list of frequently asked questions on federal programs, such as the Payment Protection Program, and can be accessed at coronavirus.utah.gov/business.
ABOUT THE UTAH ECONOMIC RESPONSE TASK FORCE
The Utah Economic Response Task Force was established by Governor Herbert to help prevent and mitigate the economic impacts of the coronavirus. Derek Miller, president and CEO of the Salt Lake Chamber, serves as the chair of the task force.