When you only have one chance to apply for loan forgiveness, it is essential that you get it right.
SBA’s Paycheck Protection Program (PPP) loans have provided an avenue for business owners adversely affected by the COVID-19 pandemic to stay afloat. Understanding the loan forgiveness guidelines, however, can be daunting. Many owners have questions, such as:
- How do the rules differ between an owner-employee of a C corporation versus an S corporation? What about other entity types?
- If you have paid employees in accordance with the provisions of the FFCRA for emergency sick leave or expanded family medical leave, how does that affect loan forgiveness?
- When does it make the most sense to apply for loan forgiveness, and how long will it take? What application should be used?
We understand that SBA PPP loan documentation guidelines can seem overwhelming. GPP has worked closely with our clients throughout the PPP loan process. Our PPP loan forgiveness services include:
PPP Loan Forgiveness Application Preparation and Submission
- Completing the lender forgiveness application request for total or partial forgiveness
- Forgiveness reduction testing, including performing FTE and wage calculations to optimize forgiveness
- Borrower documentation and compliance reporting to lender
Ongoing PPP Loan Consulting
- General guidance to help business owners complete the PPP loan forgiveness package
- Ongoing consultation on loan forgiveness issues
- Monitoring your spending to ensure it is appropriate for loan forgiveness
- Tracking FTE and wage reduction calculations to ensure maximum forgiveness
- Appropriate application of the safe harbor provisions
- Complying with transfer of ownership rules
- Meeting business needs beyond PPP, including cash flow forecasting and budgeting for 2021 and beyond.
PPP Loan Forgiveness Process
- Calculating the actual forgivable expenses paid or incurred by the borrower during the covered period
- Optimizing forgiveness reduction by calculating the two forgiveness reduction tests utilizing the most advantageous reference period and FTEE calculation
- Reviewing and assembling the necessary backup documentation that is required
Our SBA experts will guide you through the loan forgiveness process so that you can remain focused on running your business.
For more information about our PPP loan forgiveness consulting services, please fill out the form below.