Search results
People also ask
How long can a PPP loan be forgiven?
Are you eligible for PPP forgiveness?
What are the loan forgiveness requirements for PPP loans?
How do I apply for PPP loan forgiveness?
Content. Where to apply for loan forgiveness. Effective March 13, 2024, all borrowers, regardless of loan size, can use SBA's direct forgiveness portal . Applying for forgiveness using the portal can take as little as 15 minutes.
- SBA Direct Forgiveness Portal
After registration, you may use this streamlined process to...
- SBA Form 3508S
A borrower may use this form only if the borrower received a...
- Second Draw PPP Loan
Loan details. PPP now allows certain eligible borrowers that...
- Sign In
Sign in. Username Password. Remember Me
- First Draw PPP Loan
PPP is a loan designed to provide a direct incentive for...
- Get Help With Your PPP Loan
SBA has 68 District Offices around the country that provide...
- PPP Lender Information
On February 22, 2021, President Biden announced the...
- PPP Lenders Participating in Direct Forgiveness
Military reservist loan; Hawaii wildfires; Hurricane Idalia...
- SBA Direct Forgiveness Portal
Application Form automatically qualify to use the Loan Forgiveness Application Form 3508EZ or lender equivalent and should complete that application. 2. Question: Can PPP lenders use scanned copies of documents, E-signatures, or E-consents for loan forgiveness applications and loan forgiveness documentation? Answer: Yes.
- 122KB
- 11
Second Draw PPP Loans made to eligible borrowers qualify for full loan forgiveness if during the 8- to 24-week covered period following loan disbursement: • Employee and compensation levels are maintained in the same manner as required for the
- 127KB
- 1
Loan details. PPP now allows certain eligible borrowers that previously received a PPP loan to apply for a Second Draw PPP loan with the same general loan terms as their First Draw PPP loan. Second Draw PPP loans can be used to help fund payroll costs, including benefits.
Jul 20, 2023 · If your business received a PPP loan before the program ended on May 31, 2021, you can apply for PPP loan forgiveness until the date when your loan matures, which is two years for loans...
- Your Questions on Ppp2 and PPP Loan Forgiveness Answered
- Rules, Requirements and Eligibility Expenses
- Accessing The Ppp2
- Full-Time Equivalents & Loan Forgiveness
- Gross Revenues
- Corporate Groups
- What Happens When I Submit The PPP Loan Forgiveness application?
- What Happens If I Receive No Or Partial Loan Forgiveness?
- Have More Questions? What Is The Status of A PPP Loan in 2022
The covered period is the period starts on the date of the loan's disbursement and ends on the date the borrower selects that is at least 8 weeks after loan disbursement and no more than 24 weeks after the date of loan disbursement. During our recent webinar, Taking Advantage of the New Paycheck Protection Program & Other Stimulus Provisionswe rece...
We didn’t use up all of our initial PPP loan. Can the new additional eligible expenses be applied to the original loan?
Yes, the new Covered Expenses (such as cloud computing costs and PPE expenses) can be included in loan forgiveness applications for the original PPP loans.
If we didn’t use up our initial PPP loan, can we add more payroll costs to it?
If you are trying to use up all of the initial PPP loan to access PPP2 funding you will need to use the original PPP loan proceeds before applying for a PPP2 loan. The guidelines don’t say it has to be spent during the Covered Period but the initial funds from your PPP loan need to be spent on eligible expenses.
Do I have to only eligible payroll expenses for loan forgiveness?
You may use a percentage of the loan for non-eligible expenses such as rent, mortgage interest, and utilities but keep in mind that the total loan proceeds should be allocated: a maximum 40% eligible non-payroll expenses and a minimum of 60% eligible payroll expenses. Of note is the clarification in the year-end stimulus law that eligible payroll costs include group life, disability, vision, or dental insurance benefits.
If I returned a portion of my initial PPP loans, can I apply again?
Yes, even if borrowers accessed PPP loans and returned all or a portion of them, they can apply for the First Draw PPP or the PPP2. To be eligible for the PPP2, you must meet the qualifications for PPP2 loans (300 or fewer employees, 25% decline in gross revenue for any quarter or all of 2020 as compared to the same period/year in 2019).
If I could not get full forgiveness of my PPP loan because of my FTE reduction, am I eligible for PPP2?
There is nothing prohibiting you from a second draw PPP2 loan if you meet the eligibility requirements.
What is the Covered Period for the PPP2?
It has not been established yet. As the existing PPP rules and guidelines carry over unless otherwise revised it is expected that the loan forgiveness period for PPP2 loans will remain at 24 weeks.
Should I calculate headcount as of the end of the Covered Period or 12/31/20?
You should calculate the headcount at the end of the Covered Period unless the Covered Period goes past 12/31/20. In that case, you would use 12/31/20. The end of 2020 deadline was significant because it was the safe harbor for rehiring staff lost due to COVID-19 related downsizing.
What about governmental restrictions on business operations?
Document all governmental restrictions that limited your business operations and/or prevented you from returning your workforce to full, pre-pandemic capacity. Stimulus legislation has specific exceptions for loan recipients who cannot return their headcount because of demonstrated guidance from public health agencies.
At what date do you need to be under the 500-employee threshold?
At the time of the loan application, as per SBA guidelines. Note that “employee” means a single person; it not the same as the definition of FTE used for loan forgiveness calculations.
Two quarters were down by 25% compared to the same quarters in the prior year but the entire year’s gross revenues were not 25% lower. Am I eligible?
All that is required for the gross revenue eligibility is for a single quarter of 2020 to be down 25% or more compared to the same period in 2019.
Is it OK to use a partial quarter? My company was acquired in May 2019, and May/June 2019 gross receipts was more than 25% higher than May/June 2020.
A quarter is defined as three months. You would need to use at least three months of 2020 and have the gross receipts be down at least 25% or more from the same period in 2019.
Could you clarify the guidance on the limit of $4 million per corporate group? How is corporate group defined?
For the purposes of this rule, businesses are in a single corporate group when they are majority owned, directly or indirectly, by a common parent. This is covered by the SBA affiliation rules and the interim final rule for PPP loans.
Can you give more detail on the limits of an affiliate? I’m a hotel company, am I limited to $2 million per hotel?
The second draw PPP maximum loan amount is $2 million. Corporate groups can only borrow a maximum of $4 million.
Your lender will review your PPP loan forgiveness application and submit it to the SBA. The PPP lender has up to 60 days for this review before submitting the application. The SBA has up to 90 days of receipt of the application from the PPP lender to make a decision on PPP loan forgiveness. The SBA will then provide communication about the status o...
PPP loans that are not forgiven accrue at a 1% interest rate and if issued prior to June 5, 2020, have a two-year maturity term. PPP loans issued after June 5 have a five-year maturity. Once full, partial or no loan forgiveness is determined by the SBA, the loan is either forgiven or goes into repayment mode.
For additional questions about the Paycheck Protection Program, please contact a member of our COVID-19 capital assistance team. Copyright © 2021, CBIZ, Inc. All rights reserved.Contents of this publication may not be reproduced without the express written consent of CBIZ. This publication is distributed with the understanding that CBIZ is not rend...
You can apply for PPP loan forgiveness up until the date your loan matures: Two years for loans originated before June 5, 2020, and five years for loans issued after that date. But it's best...
