President Biden signed into law the American Rescue Plan Act of 2021 (ARP Act) on March 11, 2021. The $1.9 trillion economic recovery package revised the Paycheck Protection Program (PPP) and the Shuttered Venue Operator...more
On March 11, 2021, President Joseph Biden signed into law the American Rescue Plan Act of 2021 (ARP Act), a $1.9 trillion economic recovery package. This follows the recent adoption of the Consolidated Appropriations Act of...more
On March 3, 2021, the Small Business Administration (SBA), in conjunction with the U.S. Department of the Treasury, adopted an interim final rule (IFR) that: (1) allows individuals who file an IRS Form 1040, Schedule C to...more
3/16/2021
/ Borrowers ,
CARES Act ,
Coronavirus/COVID-19 ,
Eligibility ,
Interim Final Rules (IFR) ,
Loan Applications ,
Loan Forgiveness ,
Paycheck Protection Program (PPP) ,
Popular ,
SBA ,
Small Business ,
U.S. Treasury
On Monday, February 22, 2021, the Biden Administration announced changes to the Paycheck Protection Program (PPP) designed to assist small businesses in securing PPP loans. The PPP—which is scheduled to end on March 31,...more
On December 28, 2020, former President Trump signed the Consolidated Appropriations Act. Over 5,000 pages in length, the legislation (referred to herein as the Economic Aid Act) included revisions and additions to the...more
On December 28, 2020, former President Trump signed the Consolidated Appropriations Act. Over 5,000 pages in length, the Act included revisions and additions to the Paycheck Protection Program (PPP). The new PPP will: (1)...more
On December 28, 2020, President Trump signed the Consolidated Appropriations Act. Over 5,000 pages in length, the Act included revisions and additions to the Paycheck Protection Program (PPP). The new PPP will (1) accept...more
1/6/2021
/ Borrowers ,
CARES Act ,
Consolidated Appropriations Act (CAA) ,
Coronavirus/COVID-19 ,
Economic Injury Disaster Loans ,
Federal Loans ,
Lenders ,
Loan Forgiveness ,
Paycheck Protection Program (PPP) ,
Relief Measures ,
SBA ,
Small Business ,
Tax Credits
In November 2020, the Small Business Administration (SBA) issued for comment two questionnaire forms, which would need to be provided by Paycheck Protection Program (PPP) lenders to PPP borrowers who, together with their...more
The Small Business Administration (SBA) is seeking comments on two forms of questionnaires: Form 3509 (Loan Necessity Questionnaire for For-Profit Borrowers) and Form 3510 (Loan Necessity Questionnaire for Non-Profit...more
In a previous client alert, we had advised you of issues facing a purchaser of a business which had received a Paycheck Protection Plan (PPP) loan.
PPP loans are Small Business Administration (SBA) Section 7(a) loans....more
10/9/2020
/ Acquisitions ,
Buyers ,
Change of Ownership ,
Lenders ,
Mergers ,
New Guidance ,
Notice Requirements ,
Paycheck Protection Program (PPP) ,
SBA ,
Sellers ,
Small Business Loans
The Small Business Administration (SBA) and the U.S. Department of the Treasury issued a new interim Paycheck Protection Program (PPP) rule on August 24, 2020. The rule covers changes involving owner-employee compensation,...more
9/17/2020
/ C-Corporation ,
Commercial Leases ,
Interim Rule ,
Limited Liability Company (LLC) ,
Loan Forgiveness ,
Mortgage Interest ,
Owner-Employee Compensation ,
Paycheck Protection Program (PPP) ,
Rental Payments ,
S-Corporation ,
SBA ,
Shareholders ,
Sub-Tenants
Paycheck Protection Plan (PPP) loans are Small Business Administration (SBA) Section 7(a) loans. Consequently, they are subject to the same regulatory guidelines that generally apply to Section 7(a) loans....more
9/5/2020
/ Acquisitions ,
Approval Requirements ,
Borrowers ,
Buyers ,
Change of Ownership ,
Consent ,
Due Diligence ,
Lenders ,
Mergers ,
Paycheck Protection Program (PPP) ,
Popular ,
SBA ,
Small Business Loans
On August 4, 2020, the Small Business Administration (SBA) and the U.S. Department of the Treasury released new FAQs to provide further guidance on Paycheck Protection Program (PPP) loan questions and supplement previously...more
8/12/2020
/ C-Corporation ,
Commercial Tenants ,
Employee-Ownership ,
Employer Group Health Plans ,
Executive Compensation ,
General Partner ,
Guidance Update ,
Interest Payments ,
Loan Forgiveness ,
Loan Payments ,
Owner-Employee Compensation ,
Paycheck Protection Program (PPP) ,
Rental Payments ,
Retirement Plan Providers ,
S-Corporation ,
SBA ,
Self Employed ,
Supplemental Information ,
U.S. Treasury
Last month, the U.S. Treasury and the Small Business Administration (SBA) released two Paycheck Protection Program (PPP) loan forgiveness applications. The first was a new EZ PPP loan forgiveness application with instructions...more
7/17/2020
/ Applications ,
Borrowers ,
CARES Act ,
Certifications ,
Coronavirus/COVID-19 ,
Full-Time Employees ,
Independent Contractors ,
Lenders ,
Loan Forgiveness ,
Pay Reductions ,
Paycheck Protection Program (PPP) ,
Required Documentation ,
SBA ,
Self Employed ,
Sole Proprietorship ,
U.S. Treasury
The U.S. Treasury and the SBA released two Paycheck Protection Program (PPP) Interim Final Rules on June 17, 2020 and June 22, 2020. A summary of the key points of these rules follows below....more
7/16/2020
/ Amended Rules ,
Borrowers ,
CARES Act ,
Coronavirus/COVID-19 ,
Covered Entities ,
Full-Time Employees ,
Interim Final Rules (IFR) ,
Loan Applications ,
Loan Forgiveness ,
Paycheck Protection Program (PPP) ,
SBA ,
Small Business Loans
The Small Business Administration (SBA) and the U.S. Department of the Treasury released an Interim Final Rule on Paycheck Protection Program (PPP) Loan Forgiveness and the PPP Loan Forgiveness Application....more
On May 22, 2020, the Small Business Administration (SBA) and the U.S. Department of the Treasury released an Interim Final Rule on Paycheck Protection Program (PPP) Loan Forgiveness (the "Loan Forgiveness Rule"). Although...more
On May 15, 2020 the Small Business Administration (SBA) and the U.S. Department of the Treasury released a Paycheck Protection Program (PPP) Loan Forgiveness Application. Although the 11 page document clears up some issues,...more
5/19/2020
/ Applications ,
CARES Act ,
Certification Requirements ,
Coronavirus/COVID-19 ,
Employee Retention ,
Full-Time Employees ,
Loan Forgiveness ,
Paycheck Protection Program (PPP) ,
Rehiring Issues ,
Required Documentation ,
SBA ,
Small Business Loans
In the past few weeks, the U.S. Department of Treasury and Small Business Administration (SBA) have raised issues concerning the economic uncertainty certification made by both public and private companies in FAQs #31 and...more
5/15/2020
/ Borrowers ,
CARES Act ,
Certification Requirements ,
Coronavirus/COVID-19 ,
Good Faith ,
Loan Forgiveness ,
Paycheck Protection Program (PPP) ,
Returned Funds ,
Safe Harbors ,
SBA ,
SBA Lending Programs
PPP Loan Forgiveness is Criticized, Guidance is Forthcoming -
Audits of PPP Loans in Excess of $2 Million -
On April 28, 2020, U.S. Secretary of Treasury Steven Mnuchin announced that all Paycheck Protection Program...more
As part of the Paycheck Protection Program ("PPP") loan application, an applicant must certify, among other things, that "current economic uncertainty makes this loan request necessary to support ongoing operations of the...more
4/27/2020
/ Coronavirus/COVID-19 ,
Financial Distress ,
Liquidity ,
Loan Forgiveness ,
Midsize and Large Business Loans ,
Paycheck Protection Program (PPP) ,
Pre-Qualification ,
Relief Measures ,
SBA ,
Small Business ,
Small Business Loans
The CARES Act established the Paycheck Protection Program ("PPP" or "Program"), which provides nearly $350 billion in forgivable loans designed to keep workers employed during the COVID-19 crisis. In this alert, we are...more
4/15/2020
/ Borrowers ,
Economic Injury Disaster Loans ,
Lenders ,
Loan Agreements ,
Loan Applications ,
Loan Forgiveness ,
Main Street Lending Programs ,
New Guidance ,
Paycheck Protection Program (PPP) ,
Popular ,
SBA