House Passes Bill to Ease Access to Small-Business Loans

The House has passed a bill that makes the requirements concerning small-business loans less stringent. This was due to the concerns from businesses trying to avoid closing their doors during the COVID-19 crisis. Below, you can find more details on the bill and reveal alternative merchant loans in the U.S.

House’s Bill on Small Business Loans

The bill approved by the House has made the level of Paycheck Protection Program (PPP) funds for payroll 60% from the previous 75%. Borrowers can have up to 24 weeks (from the previous 8) to use the funds. December 31 is the deadline for rehiring employees. 

Under this bill, the rules are less stringent: borrowers have more time to spend the funds and make larger expenses and still be eligible for loan forgiveness. The bill was passed in a 417-1 vote.

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