1851

President Joe Biden announced on Monday that the Small Business Administration would prioritize small businesses with 20 employees or fewer for access to Paycheck Protection Program loans.&nbsp;The SBA <a href="https://www.sba.gov/article/2021/feb/22/sba-prioritizes-smallest-small-businesses-paycheck-protection-program?utm_source=1851franchise.com&utm_medium=article&utm_campaign=biden-changes-ppp-loans-in-favor-of-smaller-businesses-including-franchises-2715058" target="_blank" rel="nofollow">will establish a 14-day, exclusive PPP loan application period</a> for businesses and nonprofits with fewer than 20 employees which will put sole proprietors, independent contractors and self-employed individuals at the front of the line to receive the forgivable loans. The 14-day period will start on Wednesday, February 24. Businesses that applied for PPP loans before the exclusive application period will still have their paperwork processed.&nbsp;The move will benefit all small businesses that meet the criteria but could represent a particular bright spot for franchised businesses, which are often sole proprietorships with fewer than 20 employees. With approximately <a href="https://www.statista.com/statistics/190313/estimated-number-of-us-franchise-establishments-since-2007/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=biden-changes-ppp-loans-in-favor-of-smaller-businesses-including-franchises-2715058" target="_blank" rel="nofollow">775,000 franchise businesses in the U.S.</a> providing jobs to about 8.43 million workers, the franchising industry includes thousands of firms that would qualify for the expedited loan process.&nbsp;<h4>How PPP Loan Access Changed</h4>Besides prioritizing small businesses, the SBA has taken steps to make the lending program more accessible. These include allowing small business owners with delinquent student debt and non-fraud felony charges to receive the loans. The first round of PPP loans, opened in April, received harsh criticism for <a href="https://1851franchise.com/public-companies-raked-in-365-million-in-loans-from-paycheck-protection-program-2712905#stories">allowing big businesses to borrow millions</a> and <a href="https://1851franchise.com/new-research-shows-how-the-ppp-loans-have-played-out-2714267">disproportionately lending to white business owners</a>.&nbsp;&nbsp;This time around, the SBA seems determined to make access to the business-saving loans more equitable.&nbsp;“The SBA is a frontline agency working to create an inclusive economy, focused on reaching women-owned, minority-owned, low- and moderate-income, rural and other underserved communities in meaningful ways,” Michael Roth, the SBA’s senior advisor said when announcing the changes. “The important policy changes we are announcing further ensure inclusivity and integrity by increasing access and much-needed aid to Main Street businesses that anchor our neighborhoods and help families build wealth.”Biden echoed the need for the loans to target small businesses in an address announcing the changes.&nbsp;“American small businesses are hurting and hurting badly, and they need help now,” <a href="https://twitter.com/SBAgov/status/1363917306011787267?s=20&utm_source=1851franchise.com&utm_medium=article&utm_campaign=biden-changes-ppp-loans-in-favor-of-smaller-businesses-including-franchises-2715058" target="_blank" rel="nofollow">said Biden</a>.&nbsp;<h4>How To Apply for PPP Loans</h4>For small businesses interested in applying for the PPP loans, <a href="https://1851franchise.com/ppp-loans-round-2-now-open-how-to-apply-2714698">click here to find out how</a>.

Biden Changes PPP Loans in Favor of Smaller Businesses, Including Franchises 

1851 Franchise

The SBA has prioritized the “smallest of the small” businesses for PPP loans, and it could be a big win for franchising.

biden-changes-ppp-loans-in-favor-of-smaller-businesses-including-franchises

One Hour Heating and Air Conditioning

Why One Hour Heating & Air Conditioning Sees People as the Power Behind Franchise Growth

one-hour-heating-air-conditioning-franchise-growth

Lawn Doctor

Design with photo of John Perry and Lawn Doctor logo

How a 20-Year Industry Veteran Tripled His Sales With a Lawn Doctor Franchise

lawn-doctor-franchise-success-story-john-perry

Fitness Premier

The Secret to Fitness Franchise Success? It's Not Just the Workouts

fitness-premier-franchise-marketing-support

Fresh Coat

Photo of Fresh Coat vehicle with ladders on top

The Rise of Home Improvement Franchises: Why Now Is the Time to Invest

why-invest-home-improvement-franchise-fresh-coat

HomeTeam Inspection Service

Photo of HomeTeam inspector in red polo and khaki pants, walking by branded vehicle

Real Estate Today: Behind the Drywall: The Truth About Home Inspections

purpose-of-home-inspection

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Design with American and Federal Reserve flags against light blue background

Federal Reserve Expected To Cut Rates by Quarter Point, a Move That Could Boost Franchise Growth

fed-rate-cut-boosts-franchise-growth

Potbelly to be Acquired by RaceTrac in $566 Million Deal 

racetrac-acquires-potbelly-in-566-million-deal

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities - 1851 Franchise Agg

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities 

health-care-hiring-slowdown-in-home-care-franchise-opportunities

Caribou Coffee Names Scott Kennedy CEO, Eyes Continued Growth

caribou-coffee-names-scott-kennedy-ceo-eyes-continued-growth

McDonald’s Launches New Extra Value Meals as Consumer Demand for Value Continues to Climb

mcdonalds-launches-extra-value-meals

Technomic Releases Annual Ranking of the Top 15 Fast-Food Chains in the U.S.

technomic-releases-annual-ranking-of-the-top-15-fast-food-chains-in-the-us

Friendly’s Parent Company Acquired by Multi-Unit Franchisee as More Owners Take the Lead in Brand Acquisitions 

friendlys-parent-company-acquired-by-multi-unit-franchisee-as-more-owners-take-the-lead-in-brand-acquisitions

Hely and Hiral Patel Bring Their Longtime Dream to Life With The Brass Tap

brass-tap-franchise-pasadena-maryland-hely-hiral-patel

1851 Keyword - The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

part-time-franchises-picking-the-right-model

Franchisee spotlight graphic with photo of Ricki Oberoi and Layne's Chicken Fingers logo

Multi-Unit Wendy’s Operator Signs 12-Unit Deal With Layne’s Chicken Fingers

ricki-oberoi-laynes-chicken-fingers-growth

DevHub - Meet the Supplier - 1851 Franchise

DevHub: Scalable Digital Marketing for Franchises and Multi-Location Brands

devhub-meet-the-supplier

1851 Franchise Deep Dive graphic with Sparkle Squad logo

Sparkle Squad Franchise Costs, Fees, Profit and Data for 2025

franchise-deep-dive-sparkle-squad-franchise-costs-fees-profit-and-data

Design with school-aged child standing on pencil with text "Education Franchises" and "<$500K"

Top Education Franchises Under $500K To Explore in 2025

top-education-franchises-under-500k

Biden Changes PPP Loans in Favor of Smaller Businesses, Including Franchises

MORE STORIES LIKE THIS