A borrower is generally eligible for a second PPP loan if the borrower:
- Previously received a PPP loan and will use or has used the full amount only for authorized uses. (You do not have to have received forgiveness for the first PPP loan before applying for the second.)
- Has no more than 300 employees (full-time, part-time, seasonal). (If you have multiple locations, you may not have more than 300 employees per location.)
- Is able to demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020. (Borrowers may also compare annual gross receipts in 2020 with annual gross receipts in 2019.)
Businesses that are not eligible for first- and second-time PPP loans include: Rental income/passive income businesses that file their taxes on a Schedule E.