The new COVID-19 relief package that Congress passed at the end of 2020 included a second allocation of funds for the Paycheck Protection Program totaling $284 billion.
“The thought process behind the PPP is to assist businesses that had to scale back their operations or shut them down completely due to the pandemic,” said Brandon Kern, Ohio Farm Bureau’s senior director of state and national policy. “These funds are designed to allow businesses to keep employees on the payroll, and if 60% of the funding was used for payroll, the loan would be forgiven in its entirety.”
Kern said that many Ohio Farm Bureau members have small businesses on their farms or companies within the agriculture sector that support farmers’ everyday operations.
“There are many farm operations that do have a payroll, and we have many members who have taken part in this program,” Kern said. “Ohio agriculture is very diversified, and there are certainly many examples of businesses that would have experienced heavy job loss numbers had it not been for PPP.”
Funds from this program will be allocated to small businesses on a first-come, first-served basis. To find out more about the program and how to apply, visit the Small Business Administration website.
Farmers can apply for the PPP through any existing SBA 7(a) lenders, federally insured credit union, Farm Credit System institution or through any federally insured depository institution that is participating.