fbpx
Building Successful Relationships

UPDATE – Paycheck Protection Program & SBA Guidelines

Paycheck Protection Program & SBA GuidelinesThe CARES Act sets forth a loan program called the Paycheck Protection Program, (“PPP”), which, if you have less than 500 employees, you are eligible for up to 8 weeks of payroll, rent, utilities, and healthcare benefit costs.

The Small Business Administration (SBA) will begin accepting applications this week!***

  • April 3, 2020 for small businesses and sole proprietorships
  • April 10, 2020 for independent contractors and self-employed individuals

Download The Forms Now

We also encourage you to pull together the following important documentation:

  • 2019 IRS Quarterly 940, 941 or 944 payroll tax reports
  • Last 12 months of Payroll Reports beginning with your last payroll date and going backwards 12 months (e.g. gross wages for each employee, paid time off for each employee, vacation pay for each employee)
    1099s for 2019 for independent contractors that would otherwise be an employee of your business
  • Documentation showing total rent payments for last 12 months
  • Documentation showing total of all health insurance premiums paid by the Company Owner under a group health plan
  • Document the sum of all retirement plan funding that was paid by the Company Owner (do not include funding that came from the employee’s out of their paycheck deferrals

Please note that while the SBA will begin to accept applications this week, the loans themselves will be made through banks. The banks will likely not be up and running for making the loans this week. Thus, stay calm as you gather your documentation and know that the best bet is to work with the bank that you currently have a banking relationship.

Share

Share

Share