Ready to receive loan forgiveness? August 10th was the soft date that banks would start accepting PPP Loan Forgiveness Applications, but has been stalled due to pending federal legislation.
Banks and others assisting with PPP Loans have been advised to wait for legislation to be finalized because the application process may change.
What are the changes we may see from pending legislation?
The pending legislation is proposing a simplified, one-page loan forgiveness application for borrowers with loans less than $150,000. This could be fantastic news for micro-small businesses. You can save lots of time filling out the application and overall, it will be much simpler to receive forgiveness.
For businesses with over $150,000 in PPP Loan funding we do not expect the same drastic changes. You will still be required to complete the standard PPP loan forgiveness application as well as provide supporting financial and payroll documentation to prove eligibility for loan forgiveness.
What should you do now?
- Contact the bank you used to receive your loan and see if they are accepting applications. We have heard of some starting to accept applications, but they will not start processing them until final guidance.
- Start collecting your financial and payroll reports to show how you used the fund. If you have less than $150,000 in loan funds you may just want to keep cool and wait it out to avoid extra work, but no harm in being over prepared!
For those with more complex applications, we will be offering assistance to help you receive loan forgiveness. Like banks we are waiting for final guidance to be released. But do not hesitate to reach out to us now!
We are dedicated to the success of small businesses. Our mission is to save you time, money, and grow your profits. For assistance call or email our office and we can get you booked for a free consultation or you can use our link to book