As small and midsize law firms rush to claim a share of $350 billion in government-backed loans to keep their payrolls afloat, some are finding that their business models pose a special obstacle.

Starting April 3, small U.S. businesses have been able to start applying for the Paycheck Protection Program, a key part of the $2 trillion COVID-19 pandemic relief bill. Under the program, banks will loan up to $10 million to businesses with less than 500 employees on very favorable terms—two-year maturity and 1% interest rate.

The U.S. Small Business Administration will forgive the entirety of the loan's principal if, eight weeks after receiving the money, the businesses keep all of their employees on the payroll and the money they borrowed is used for compensation, rent, mortgage interest or utilities. If businesses do take the money and lay off employees anyway—or cut their pay by more than 25%—then they have to pay back a portion of the principal.