As of the publishing of this newsletter, about one third of the $310 billion appropriated for the second round of Paycheck Protection Program funding is still available. The Treasury has now published the forgiveness application as well.
The PPP application process has become much smoother since the program began in the beginning of April. Many business owners were dissuaded from applying by the horror stories from the first round of funding and the lack of approved loans. The second round has remedied the issues of the first round and allowed more funds to end up in the hands of small businesses.
The Treasury has also released favorable guidance for small businesses. Any business that receives under $2 million is assumed to have made the certification that the business was negatively affected by the pandemic in good faith. That means that the business will not be challenged on whether it appropriately applied for the loan due to economic conditions. The justification was that all small businesses have been affected in some way by the pandemic.
If you believe that your business or the business of someone you know may qualify for a loan, Stambaugh Law Offices would be happy to consult with you about it.
