Financially, 2020 has been a difficult year for some small businesses. The COVID-19 pandemic has affected the bottom line for numerous businesses, including some in Idaho.
“It's been stressful, it's been tough, a lot of changes obviously,” said co-owner of Meraki Greek Street Food, Aki Kalatzakis.
For some small businesses, help is on the way in the form of another round of Paycheck Protection Program (PPP) loans, funds designed to save jobs at small businesses.
The last round of PPP loans was largely unregulated and criticized by some business owners for favoring big businesses. Because of this, there are new rules for the second round of loans.
The loans are capped at $2 million per business, compared to $10 million during the first set of loans. Additionally, applicants must prove their business has experienced a 25% drop in sales from the same time in 2019.
$12 billion has also been set aside specifically for minority-owned businesses.
Businesses are welcome to apply for the second round of PPP loans even if they received loans from the first round.
“It was really important for us. If we didn’t have that first Paycheck Protection Program loan or money, we probably wouldn’t be around right now," Kalatzakis said. "It really helped us get over that initial, the first few months that really hit us hard. So really, I don’t think we'd be around without that."
Meraki's received about $43,000 during the first round of PPP loans and are currently preparing to apply for the second round of funds.
In comparison, Idaho Botanical Gardens received more than $150,000 to pay their staff and keep them employed after the statewide shutdown in early March.
“I think the one thing that’s really important to know about the funding and our community in general is it's going to take a lot to recover from this," said Erin Anderson, executive director of the Idaho Botanical Gardens. "The botanical garden, with our large scale events, are the first to close down and to see those reduced capacities and are going to be the absolute latest to be able to reopen."
Idaho Botanical Garden operates solely on revenue and donations from events, according to Anderson. The PPP ensured operations and services could continue for the rest of the year.
Discussions around whether the business will qualify for the second round of funding are currently taking place.
The details as to when applications will open are still being worked out, but experts recommend gathering the necessary financial information now so you're ready when it comes time to apply.
Facts not fear: More on coronavirus
See our latest updates in our YouTube playlist: