It’s been an incredible few weeks in the business world, specifically for those business owners who secured PPP loans for their businesses. We were thrilled to be able to help so many of our existing clients, and new clients, in securing these funds. But now that you have the funds, what should you be doing to maximize forgiveness from the SBA when all is said and done?
The truth is, no one has an exact answer because the final requirements have not been issued by the SBA. However, the SBA recently released some guidance for the forgiveness aspects of the Paycheck Protection Program, in the form of the PPP Forgiveness Application. The SBA has also indicated that further guidance is forthcoming for both borrowers and lenders with greater detail about the requirements and process. For that reason, we still encourage our clients to work closely with a CPA or Attorney that is familiar with the Paycheck Protection Program and follow their guidance.
The intent of the Paycheck Protection Program was to maintain employees and payroll levels and as long as the majority of the funds (75% or more) is used for that purpose, the SBA has said it will be forgiven.
In addition to the PPP Forgiveness Applicaiton, we have also provided an expense tracking log for our clients to use to help keep all expenses tracked and summarized in one spreadsheet. Scroll down to download the application and spreadsheet.
Click on the button below for a great article that was published by Forbes and gives the best summary we have seen so far about the PPP and forgiveness.Read More
You can also watch our webinar from April 24th below.
Clearly, there are a lot of questions to be answered about PPP forgiveness. As your bank, we want to make sure that you are armed with the best guidance we can find. We will continue to share any information or direction we receive from the SBA.