Below are some of the eligibility requirements for both First Draw and Second Draw PPP Loans. Please consult the SBA rules and regulations for a full list of those eligible to apply and other eligibility requirements.
You’re eligible for a First Draw PPP Loan if you, together with your affiliates (where applicable) are:
- A small business concern under the applicable revenue-based size standard or under the SBA alternative size standard
- A business concern or entity with a NAICS Code of 72 with multiple locations and you have fewer than 500 employees per physical location
- A business concern, a 501(c)(3) nonprofit organization, a 501(c)(19) veterans organization, a tribal business and you employ no more than 500 employees or otherwise meet the applicable SBA size standard
- A housing cooperative, eligible 501(c)(6) organization, or eligible destination marketing organization and employ no more than 300 employees
- A news organization that is majority owned or controlled by an entity having a NAICS Code of 511110 or 5151 business or are a nonprofit public broadcasting entity with a trade or business under NAICS 511110 or 5151, and employs fewer than 500 employees per physical location
- A sole proprietor, independent contractor, or eligible self-employed individual
You’re eligible for a Second Draw PPP Loan if you can demonstrate at least a 25% revenue reduction in gross receipts in any quarter of 2020 as compared to the same quarter in 2019 and you, together with your affiliates (where applicable), meet all other eligibility requirements, and are:
- A business with a NAICS Code starting with 72 and have no more than 300 employees (full-time, part-time and any other status) per physical location
- A 501(c)(19) veterans organization, a tribal business or other small business that employs no more than 300 employees or that otherwise meets the SBA’s size standard
- A news organization that is majority owned or controlled by an entity having a NAICS Code of 511110 or 5151 business or are a nonprofit public broadcasting entity with a trade or business under NAICS Code 511110 or 5151, and employs no more than 300 employees per physical location
- An internet-only news or periodical publisher assigned a NAICS Code of 519130 and engaged in the collection and distribution of local or regional and national news and information and employs no more than 300 employees per physical location
- An eligible 501(c)(3) organization, 501(c)(6) organization, or destination marketing organization, that employs no more than 300 employees in a single location
- An eligible organization described in any paragraph of section 501(c) of the Internal Revenue Code other than paragraphs (3), (4), (6) or (19) and employs no more than 300 employees in a single location
- A sole proprietor, independent contractor, or eligible self-employed individual
You are not eligible for a PPP Loan if you:
- Were not in operation on February 15, 2020 or have been permanently closed
- Are a publicly traded company
- Have already received a prior PPP Loan and are applying for another First Draw PPP Loan; however, you may still be eligible for a Second Draw Loan.
- Have received a grant under the Shuttered Venue Operator Grant program and are applying for a Second Draw PPP Loan
- Are a partner in a partnership and are applying for yourself as a self-employed individual
- Are a household employer
- A seasonal business that was not in operation for any 12-week period between February 15, 2019 and February 15, 2020
- Have not spent the full amount (including any increase) of your First Draw PPP loan on eligible expenses and are applying for a Second Draw PPP Loan
- Engaged primarily in certain political or lobbying activities and are applying for a Second Draw PPP Loan or if you are a 501(c)(6) tax-exempt entity or a destination marking organization
- Are organized under the laws of the People’s Republic of China or the Special Administrative Region of Hong Kong or have as a member of your board of directors, a person who is a resident of those regions, and you are applying for a Second Draw PPP Loan
And please remember, to be eligible, you must be an existing business loan or deposit client with BB&T or SunTrust, now Truist, as of January 1, 2021.
When applying for a First Draw or Second Draw PPP Loan, clients without a BB&T or SunTrust, now Truist, business account will need to provide proof their BB&T or SunTrust, now Truist, personal account is used for trade or business purposes. Independent contractors and self-employed clients applying for a PPP Loan will need to provide documentation necessary to establish their eligibility, such as payroll processor records, payroll tax filings, 1099-MISC forms, income and expenses from a sole proprietorship or other supporting documentation sufficient to demonstrate their qualifying payroll amount. Other business types such as ranchers, housing cooperatives or certain news/broadcasting companies may need to produce unique documentation.