PPP Loan Forgiveness Guidance
May 18, 2020
Webinar This Thursday, May 21 at 10 a.m. Central
If you have questions about the Paycheck Protection Program and loan forgiveness from the SBA, we have answers!
This Thursday, we're hosting another webinar to bring you the latest information. You'll hear again from Bill Dunton and Chris Stange, with Mark Hillenburg serving as the moderator. The webinar will stream live at 10:00 a.m. Central.
SBA PPP Loan Forgiveness Guidance
Thursday, May 21, 2020
10:00 a.m. Central
Watch the Previous SBA Loan Webinars
- CARES Act - SBA Loans to Keep Your Business Going | April 1, 2020
- CARES Act - What You Need to Know Now | April 8, 2020
We will continue to monitor and keep you updated on the impact of this bill and other regulatory changes.
President Trump signed the CARES (Coronavirus Aid Relief and Economic Security) Act Friday, March 27, 2020. The CARES Act provides significant relief in terms of financial assistance to nonprofits, businesses and individuals, including new and expanded Small Business Administration loans. Click here for a summary of the full act.
PPP Loan Forgiveness Application
The Small Business Administration (SBA), in consultation with the Department of the Treasury, released the Paycheck Protection Program (PPP) Loan Forgiveness Application and detailed instructions for the application. Download the application here.
The form and instructions inform borrowers how to apply for forgiveness of their PPP loans, consistent with the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). SBA will also soon issue regulations and guidance to further assist borrowers as they complete their applications, and to provide lenders with guidance on their responsibilities.
The form and instructions include several measures to reduce compliance burdens and simplify the process for borrowers, including:
- Options for borrowers to calculate payroll costs using an “alternative payroll covered period” that aligns with borrowers’ regular payroll cycles
- Flexibility to include eligible payroll and non-payroll expenses paid or incurred during the eight-week period after receiving their PPP loan
- Step-by-step instructions on how to perform the calculations required by the CARES Act to confirm eligibility for loan forgiveness
- Borrower-friendly implementation of statutory exemptions from loan forgiveness reduction based on rehiring by June 30
- Addition of a new exemption from the loan forgiveness reduction for borrowers who have made a good-faith, written offer to rehire workers that was declined
The PPP was created by the CARES Act to provide forgivable loans to eligible small businesses to keep American workers on the payroll during the COVID-19 pandemic. The documents released Friday, March 15 will help small businesses seek forgiveness at the conclusion of the eight week covered period, which begins with the disbursement of their loans.