Square's Square Capital Business Gets OK to Be PPP Lender

By Stephen Nakrosis

Square Inc. on Monday said its Square Capital Business would begin to offer loans under the U.S. government's Paycheck Protection Program.

The company said it isn't accepting applications yet, as it is "working with our partners to understand when we're able to help distribute this money."

The Paycheck Protection Program is run by the U.S. Small Business Administration, and is intended to provide relief to companies suffering from the impact of the ongoing coronavirus pandemic.

"A PPP loan is designed to provide a direct incentive for small businesses to keep their workers on the payroll," Square said. "The SBA will forgive loans if all employees are kept on the payroll for eight months and the money is used for payroll, rent, mortgage interest or utilities."

Square said it plans to reach out to potential applicants via email, and will allow PPP applications to be completed on the Square Dashboard. Once a loan is approved by the SBA, money will be deposited into an applicant's linked bank account, the company said.

Write to Stephen Nakrosis at [e-mail]

(END) Dow Jones Newswires

April 13, 2020 14:12 ET (18:12 GMT)

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