Kansas businesses to benefit from new coronavirus relief package
$284 billion of it is heading to the Paycheck Protection Program, or PPP, which hasn’t accepted applications from businesses since August.
TOPEKA, Kan. (KSNT) - Struggling Kansas businesses are getting help from the federal government.
The new $900 billion COVID relief bill signed into law on Sunday will help keep people working. $284 billion of it is heading to the Paycheck Protection Program, or PPP, which hasn’t accepted applications from businesses since August.
"A lot of the businesses and the business owners I know that started to have to face some difficult decisions about am I going to have to cut headcount because I don’t have anymore of these funds," said Damien Martin, an accountant, and tax partner at BKD CPAs and Advisors.
Not all businesses received money in the original CARES Act funding. This round is open to companies that haven’t gotten any help, as well as ones that received money and have struggled.
"Not have to make maybe some of those hard decisions now, because again, the first money has already been spent, and maybe keep those people on payroll," Martin said about where funding could go.
This money is designated for the hardest hit businesses that are seeing at least 25 percent less revenue compared to the same time period last year. They have to be small businesses with 300 employees or less.
"I do think that Congress did a better job of targeting funds for those businesses that have been very particularly impacted for a variety of reasons," said Kansas Chamber of Commerce President Alan Cobb.
There is additional money outside of the PPP is focused on venues, theaters, and museums that have seen revenues plummet.
Experts also said since the CARES Act was quickly put together in March, this bill improves on areas by extending deadlines and increasing flexibility.
"Some of the best things were clarification of what they did earlier," Cobb said.
Businesses will have until the end of March to apply for loans in this round of funding.