Attention veterinary hospitals worried about making payroll and keeping their doors open:

The Paycheck Protection Program (PPP) portion of the recently passed Coronavirus Aid, Relief, and Economic Security (CARES) Act, which authorizes up to $349 billion in forgivable loans through the US Small Business Association (SBA) to small businesses to pay their employees during the COVID-19 crisis, went into effect today.

The SBA loans offer small businesses one of their biggest potential sources of support during the coronavirus pandemic.

Who’s eligible?

Small businesses employing fewer than 500 people are eligible to apply for the special low-interest loans (up to a maximum of $10 million). Those eligible for PPP loans also include:

• The self-employed
• Sole proprietors
• Freelance and gig workers

It’s important to note that all loan terms are the same for everyone.

The loans have many features favorable to small businesses, including:

• No personal guarantees or collateral required
• Payments are deferred for six months

Best of all, part of the loan will be forgiven and not counted as income, as long as the money is spent on certain operating expenses the first eight weeks after the loan originated. Check the US Department of the Treasury PPP Fact Sheet more details.

What do you need to apply?

You’ll need to complete the PPP loan application and submit it, with the required documentation, to an approved lender. Download an application here.

For more in-depth information, Forbes magazine compiled a list of frequently asked questions along with some expert analysis.

Photo Credit: © iStock/bob_bosewell