This is a new program offering loans up to $10 million at a 1% interest rate, calculated based on 2.5x your average monthly payroll costs. As long as you use the proceeds of the loan under the rules, these loans are 100% forgiven by the government.

Salary, wages, commissions, or tips (capped at $100,000 on an annualized basis for each employee)

Employee benefits including costs for vacation, parental, family, medical, or sick leave; allowance for separation or dismissal; payments required for the provisions of group health care benefits including insurance premiums; and payment of any retirement benefit

State and local taxes assessed on compensation

For a sole proprietor or independent contractor: wages, commissions, income, or net earnings from self-employment, capped at $100,000 on an annualized basis

The SBA will forgive 100% of the loan as long as you use 60% of the money for payroll costs within 24 weeks after you receive it.

Small businesses with fewer than 500 employees (subject to certain limited exceptions); independent contractors; and sole proprietors in business on February 15, 2020 can all qualify. Additionally, the following groups can qualify:

A business that operates an accommodation or food service business (NAICS code 72) with 500 or fewer employees per location

A business assigned a franchise operator code by the SBA

A business that receives assistance under the Small Business Investment Act

Assuming you qualify, you calculate the max loan volume by:

Aggregating all annual payroll costs of U.S.-based employees and subtract compensation over $100,000 paid to employees or independent contractors

Calculating the average monthly payroll costs (take total annual payroll costs and divide by 12)

Multiplying the average payroll costs by 2.5

Add any outstanding Economic Injury Disaster Loan (EIDL) made between January 31, 2020 and April 3, 2020, minus the amount for which you've already received an advance (advances do not have to be repaid)

Check out our blog post for the complete list.