Small businesses in Iowa can resume applying for federal aid

The federal Paycheck Protection program has started taking applications again starting Monday. 

The program ran out of money a few weeks ago.

The program is a loan designed to provide a direct incentive for small business owners to keep their workers on the payroll. It can be used for rent, paying employees or utilities.

Here are some answers to help explain the federal government's program to aid small businesses

In order to get this loan, do you have to have 500 or fewer employees?

The answer is no. 

Small businesses can have more than 500 employees.

SMALL BUSINESSES CAN HAVE MORE THAN 500 EMPLOYEES.

Do the loans cover paid sick leave?

Yes. 

The loans cover costs for employee vacations, parental, medical or family leave.

Do you have to pay back your loan?

That answer is complicated. 

The PPP loans may be forgiven, but if you do not apply for forgiveness, you wlil have to repay the loan.

Many Iowa small businesses tried to apply for this loan, but they couldn't get it in time.

You can apply online for a Payroll Protection Program loan right now.

RELATED: An insurance company bought $3K of gift cards from a West Des Moines coffee shop. It's now their turn to pay it forward.

RELATED: Some small businesses shut out of SBA loans

WATCH: Complete coronavirus coverage from Local 5 on YouTube