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PPP Loan Prosecutions Appear to Be in the Technical Non-Compliance Phase

On March 27, 2020, the CARES Act was signed into law to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic, including in the form of forgivable loans to small...more

SBA’s New PPP Loan Necessity Questionnaires Target PPP Recipients with Loans of $2M

On October 31, 2020, the U.S. Small Business Administration (“SBA”) published a Notice in the Federal Register seeking approval from the Office of Management and Budget for the collection of information through, among other...more

SBA’s “October Surprise” Forces PPP Borrowers and Lenders to Complete Loan Forgiveness and Establish Escrow Accounts to Circumvent...

In a significant development for the mergers and acquisitions (“M&A”) community, the U.S. Small Business Administration (“SBA”) issued a “Procedural Notice” which affects the requirement for companies involved in the buying...more

Top 10 Things to Know About SBA PPP Loan Review Decision Appeals to OHA

Earlier this month, the Paycheck Protection Program (“PPP”) moved from a phase of “loan disbursement” to a phase of “loan forgiveness.” As explained in our August 11, 2020 Client Alert, the U.S. Small Business...more

PPP Update: SBA’s Loan Forgiveness Portal May be Coming Online, but Uncertainty Continues

Through the Paycheck Protection Program (“PPP”), which was authorized by the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), banks certified as 7(a) lenders by the U.S. Small Business Administration (“SBA”)...more

Congress Gives Borrowers More Flexibility with Amendments to Paycheck Protection Program

On June 5, 2020, President Trump signed the Paycheck Protection Program Flexibility Act of 2020 (“HR 7010” or the “PPP Amendment”) into law, after the House passed HR 7010 on May 29, 2020 and the Senate adopted HR 7010 by a...more

The SBA Expands the Safe Harbor for PPP Loans and Extends The Repayment Deadline to May 18, 2020

On May 13, 2020, SBA issued new guidance with respect to a borrower’s good faith certification that “[c]urrent economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant,” as...more

New Guidance Resolves Confusion over Counting Foreign Employees for PPP Loan Eligibility

On May 5, 2020, SBA/Treasury finally answered the important question of whether a small business located in the US needed to count the number of employees of its “foreign affiliates” in its size standard eligibility...more

SBA Extends PPP Repayment Date for Safe Harbor to May 14, 2020

Businesses now have one extra week to conduct their risk/reward analyses to decide whether to return their PPP loans. In prior guidance (Treasury FAQ 31 and 37), the SBA reminded borrowers that they “should review carefully...more

Foreign Affiliates and the Small Business Size Standards for PPP Loan Eligibility: Avoiding FCA Liability for False Certifications

On March 27, 2020, the President signed the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act” or the “Act”) (Pub. L. 116-136), which provides emergency assistance and health care response for individuals,...more

Despite Contrary Reports, Many PE and VC-Backed Companies May Be Eligible for Forgivable PPP Loans During the COVID-19 Crisis

The private equity and venture capital communities have advocated forcefully that their portfolio companies should be able access loans available under the Paycheck Protection Program (the “PPP”), the $349 billion U.S. Small...more

Questions and Answers Regarding the CARES Act PPP Loan

Providing critical guidance to millions, the U.S. Small Business Administration (“SBA”) issued two Interim Final Rules (collectively, the “Rules”) relating to the Paycheck Protection Program (the “PPP”), and its Office of...more

Small Businesses Can Start Applying for Forgivable Paycheck Protection Program Loans from SBA-Approved Lenders on April 3, 2020

According to the Treasury Department, small businesses impacted by the coronavirus pandemic can start applying for emergency “forgivable” loans under the Coronavirus, Aid, Relief and Economic Security Act (CARES Act) to cover...more

What Every Small Business Needs to Know About the CARES Act

1. The Paycheck Protection Program - The Coronavirus, Aid, Relief and Economic Security (“CARES”) Act has designated $349 billion for the Paycheck Protection Program. The Paycheck Protection Program expands the U.S. Small...more

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