On June 12 the Small Business Administration published an interim final rule (IFR) to update its April 2 IFR on the Paycheck Protection Program (PPP). On June 5, 2020, the Paycheck Protection Program Flexibility Act of 2020 (Flexibility Act) was signed into law, amending the CARES Act. This interim final rule changes key provisions, such as the loan maturity, deferral of loan payments, and forgiveness provisions, to conform to the Flexibility Act. SBA also is […]
On June 8, in response to the enactment of the Paycheck Protection Program (PPP) Flexibility Act, the Small Business Administration (SBA and the U.S. Treasury jointly announced that the SBA will promptly issue rules and guidance, a modified borrower application form, and a modified loan forgiveness application implementing these legislative amendments to the PPP. These modifications will implement the following important changes: Extend the covered period for loan forgiveness from eight weeks after the date […]
On June 5 the president signed the Paycheck Protection Program Flexibility Act of 2020 (Flexibility Act). The Flexibility Act makes numerous changes, including, but not limited to,: Extends the maturity period for new PPP loans made after June 5, 2020, from two to five years. By mutual agreement of the lender and the borrower the maturity on existing PPP loans may be extended. Payments of principal and interest on existing PPP loans were deferred for […]
On May 22, 2020 the Small Business Administration (SBA) and the Department of Treasury jointly issued two interim final rules (IFR) related the Paycheck Protection Program (PPP). The first IFR deals with Loan Forgiveness; the second covers Loan Review Procedures and Related Borrower and Lender Responsibilities. Loan Forgiveness – The 26-page IRF on Loan Forgiveness is designed to: Help PPP borrowers prepare and submit loan forgiveness applications as provided for in the CARES Act; Help […]
The Small Business Administration (SBA) continues its practice of releasing information on the Paycheck Protection Program (PPP) on an as needed basis. The SBA released the Paycheck Protection Program Loan Forgiveness Application on May 15, 2020. The SBA promises regulations and additional guidance for borrowers and for lenders soon.