REMINDER: Funding for Small Businesses Still Available
I am committed to supporting New Mexico's small business owners and nonprofits impacted by the pandemic. Even as our state begins a phased reopening of our economy, we still have a long way to go.
I wanted to reach out to remind you that the deadline for applying for funding assistance through the Small Business Administration's Paycheck Protection Program (PPP) is quickly approaching. The final deadline to apply for this support is Tuesday, June 30.
The funding for this assistance is still available. Lenders across New Mexico are ready to process your applications. I encourage you to reach out your preferred local bank, credit union, Community Development Financial Institution, or Small Business Development Center to get started on an application. And please don't hesitate to contact my office if I can help you and your business or organization navigate the process to apply for assistance.
Since this program was first established by Congress earlier this year, I have heard from many local business owners in New Mexico about problems in its implementation. I shared the disappointment and frustration with these initial delays. However, in the months since those challenges, Congress has successfully passed major reforms and billions of dollars of additional funding to make it much easier for small businesses to access this critical financial lifeline.
PPP loans can now be forgiven if businesses use 60% of them on payroll. Congress has reduced that percentage from the original 75%, meaning that up to 40% of a PPP loan can now be used to cover rent, mortgage payments, utilities, and interest on loans. The time period for spending these loans has also been extended from 8 weeks to 24 weeks after receiving the funds. These changes will allow businesses more flexibility to use these loans in the best way for their specific needs and make it much easier to maximize the chances of loan forgiveness. For more information on loan forgiveness qualifications, please contact your local lender.
I will continue fighting for New Mexico's priorities and call on leaders from both parties to resume negotiations between the Senate, the House of Representatives, and the White House on legislation to protect our health and support our economic recovery. I am committed to working with all of you in the days and months ahead to rebuild thriving businesses and local economies across our state.
United States Senator