PPP Loans

If you took a PPP loan out, some items to be aware of:

• There is a bill Pending in Congress that would automatically forgive PPP loans under $150,000.
  • IF this law is approved, small businesses who received a PPP of less than $150,000 can have their loan automatically forgiven without having to file a lengthy forgiveness application.
• As of October 1st 2020, Congress still has not approved this.
• But because you have 10 months to apply, there is still plenty of time to wait and see if it passes.
• The 10 months starts from the date the ‘Covered Period’ ends to apply for Forgiveness.
  • Your covered period ends after the 8 weeks (if chosen and you received your PPP Loan prior to June 5th) or 24 weeks (if chosen and you received your PPP Loan prior to June 5th).
  • If you received your PPP Loan after June 5th 2020, you have 24 weeks to use the funds.
• For Example, if you received your loan on May 15th 2020 and you chose to use it within 8 weeks:
  • your covered period ends on July 10th 2020 and the 10 months to apply would begin then.