MAINE, USA — Relief will soon be on the way for struggling small businesses in Maine. On Tuesday, applications for the second drawing of the paycheck protection program become available through all lenders.
"We need that extra help, that extra support to get us to the finish line," said Coffee by Design co-founder and community builder Mary Allen Lindemann.
Lindemann and her business partner are applying for the second round of relief through the PPP. She's hopeful her business is approved and can receive financial help as she prepares to navigate winter business during a pandemic at her award-winning coffee shop.
"We're like any other business here, no matter how well you run your business, we didn't anticipate this," said Lindemann.
Applications for the second round of the PPP were first made available to some businesses last week, however, January 19, 2021, is when the application becomes available to all lenders.
Maine businesses received more than $2.2 billion through the first round of the paycheck protection program which ran from April to August of 2020. This time around, there are multiple changes in place to specifically gear the relief towards smaller businesses.
Those regulations include:
- The loans are capped at $2 million per business
- Applicants must have fewer than 300 employees
- Businesses must prove at least a 25% drop in sales from the same period in 2019.
- Unlike last time, publicly traded companies are not eligible.
- $12 billion has been set aside specifically for minority-owned businesses.
Another popular Portland business is also planning to apply for this round of PPP.
"Helping make up some of that lost revenue is gonna be super helpful for us," said Becky's Diner general manager Zack Rand.
Rand has seen a major decrease in customers willing to take part in outdoor dining as the temperatures decrease, and due to space is limited to just 10 tables indoors.
"A cold-weather place like Maine... in the wintertime. We're limited in our seating and space we have inside the building," said Rand.
In addition to launching the second round of PPP, according to the Small Business Administration, applications have also reopened for the first round of PPP, making that available to businesses that may not have applied last year.