Paycheck Protection Program FAQ

1) Who is Qwil partnering with to help me get access to these PPP funds?

Qwil has partnered with Kabbage to connect you with access to the Paycheck Protection Program (PPP) loans to help you cover payroll, rent, utilities and other eligible debt obligations.

2) Does working with Qwil take away any of my SBA PPP loan?

Ie would I receive less money if I work through Qwil for my application vs going directly to my bank? 

Great question! We are happy to report that Qwil does not receive any of the funds dedicated to helping your business grow.

3) What is an SBA PPP Loan?

Under the CARES Act, the Paycheck Protection Program (“PPP”) offered up to $10M in forgivable loans to small businesses. These short-term loans were built to keep employees on the payroll during the COVID-19 crisis.

4) What are the terms and rates of a PPP loan?

The PPP loan has a 1.00% fixed interest rate and is due in two years. All payments are deferred for six months, however, interest will continue to accrue over this period. In addition, no personal guarantees or collateral are required.

5) How do I qualify for 100% forgiveness under the PPP loan?

As long as you use your loans for qualified expenses (see above) over the 8-week period, you can qualify for 100% forgiveness. Your loan forgiveness may be reduced if:

  • You decrease your full-time employee headcount
  • You decrease salaries and wages by more than 25% for employees making less than $100K annually

If you restore employees or salary levels before June 30, 2020, you may still qualify for full forgiveness.

6) Are 1099 employees eligible for PPP funds?

1099 independent contractors may file for their own PPP loans, but can not be included in the payroll calculations of compensating companies. They can use the funds for the following purposes: 

  • Compensation in the form of salaries, wages, commissions (or similar compensation), cash tip payments (or the equivalent)
  • Healthcare costs including insurance premiums
  • Mortgage interest payments (but not payments on the mortgage principal)
  • Rent
  • Utilities
  • Interest on any other debt obligations incurred before February 15, 2020