Now is the time to prepare for the road to recovery. With changes constant and released guidance on-going, lean on Sax to stay in the know with the most recent updates made to the relief programs, forgiveness clarifications, best practices for securing aid, and more.
Guidance & FAQs
10.09.20
On October 8, the SBA, in conjunction with the U.S. Treasury Department, issued its latest Interim Final Rule in an effort to streamline and simplify the loan forgiveness process. Borrowers with PPP loans of $50,000 or less may now use Form 3508S to support their application for forgiveness. Read more here.
09.03.20
If you missed our recovery update on Thursday, September 3, we addressed your specific hurdles with regards to the relief programs made available to us, so you are better equipped to regain strength. The discussion included information on the recently released Interim Final Rules and items to consider when determining the best time to file your PPP loan forgiveness application. Watch the webinar here.
08.31.20
While we understand the overriding preference to put the PPP in the rearview mirror and focus on recovery and brand strength, the changes and uncertainty surrounding the PPP loan forgiveness process should give borrowers pause. Read more here.
08.28.20
As we continue to wait and see what the PPP forgiveness process will ultimately look like, business owners will need to still prepare both internal and external financial statements amidst uncertainty. With that, we have outlined our suggested best way forward with presenting the PPP loan on your year-end financial statements based on what we know at this time. Read more here.
08.25.20
On August 24, the SBA issued guidance clarifying a few of the many open issues that relate to the PPP loan forgiveness calculations. Topics addressed include the percentage of ownership in a corporation that requires an employee’s compensation to be subject to owner rules for payroll costs in the loan forgiveness calculations, in addition to clarifications for related party rent expense, mortgage interest and home office expenses. Read more here.
08.25.20
Healthcare providers are granted another opportunity to apply for the Provider Relief Fund under Phase 2, aimed at reimbursing eligible healthcare-related expenses and lost revenues attributable to COVID-19. Healthcare providers who have already received a payment under Phase 1 are still eligible to apply for additional funds. The deadline to submit is August 28, 2020. Read more here.
08.20.20
On August 14, 2020, the U.S. Department of Health and Human Services (HHS) provided details on the Provider Relief Fund reporting requirements. The Provider Relief Fund (PRF) was allocated $175 billion under the CARES Act to reimburse eligible healthcare providers for healthcare-related expenses and lost revenues attributable to COVID-19. Here is a recap of the guidance and timelines recently released.
08.19.20
As small businesses continue to seek credit and financing opportunities to stem the tide of the COVID-19 pandemic, the SBA has taken further action to boost the economy. On August 18, 2020, the SBA reduced interest rates for its 504 Loan Program to 2.214% for 20-year loans and 2.269% for 25-year loans. Read More Here.
08.11.20
In light of the highly anticipated PPP FAQs recently released by the SBA, Sax’s Recovery Task Force held a special update to provide an overview of the new information and continued guidance on loan forgiveness. The discussion also included the latest Capitol Hill updates. Watch the Webinar Here.
08.10.20
On August 8, 2020, President Trump signed four executive orders to provide economic assistance as the self-imposed deadline for Congress to reach a coronavirus relief package passed. These four executive orders are summarized here. Read More Here.
08.05.20
In a much-anticipated move, the Small Business Administration, in conjunction with the U.S. Department of Treasury, issued the latest round of frequently asked questions on August 4, 2020. These FAQs focus on the questions and concerns that borrowers and lenders had as part of the Paycheck Protection Program (PPP) loan forgiveness process. Read More Here.
07.30.20
The Federal Reserve has announced an extension through December 31 of its lending facilities that were initially scheduled to expire on or around September 30. The lending facilities are geared towards countering the economic downturn and aimed at credit markets, small and large businesses and corporate bonds. Read More Here.
07.28.20
On Monday, July 27, 2020, the Senate released its latest coronavirus relief package. Dubbed the “HEALS Act”, this $1 trillion GOP economic and stimulus package should serve as the starting point for Congressional negotiations as common ground between the Senate and the House of Representatives’ $3 trillion HEROES Act is sought. Read Highlights Here.
07.28.20
The Small Business Lease – Emergency Assistance Grant Program (SBL-EAGP) is a new relief program for small businesses impacted by COVID-19. The program will allow businesses in 64 eligible municipalities to apply for grants of up to $10,000 for lease costs. $6 million in CARES Act funding has been allocated to the SBL-EAGP which is managed by the New Jersey Redevelopment Authority (NJRA). Read More Here.
07.20.20
The Federal Reserve has recently announced that the Main Street Lending Program is now available for non-profit organizations seeking COVID-19 relief.
07.06.20
On July 4, 2020, a five-week extension of the Paycheck Protection Program (PPP) was officially passed, extending the application deadline to August 8 (previously set to close on June 30). The extension allows companies more time to apply for federal assistance for COVID-19 relief.
06.25.20
On June 22, 2020, the Small Business Administration (SBA) issued its latest Interim Final Rule, providing borrowers and lenders with additional guidance surrounding the Paycheck Protection Program (PPP) loan forgiveness process. While questions and open items remain, we have been provided with clarity on a number of items. Read More Now.
06.25.20
The non-profit New Jersey 30 Day Fund provides forgivable loans for NJ-based small businesses. The forgivable loan is intended to provide immediate financial assistance (within maximum three days) to meet payroll, preserve healthcare coverage for employees and save jobs while awaiting recently approved federal funding and reopening. Read More Here.
06.18.20
On June 16, 2020, the Small Business Administration (SBA) released the revised long form of the Loan Forgiveness Application and a streamlined version for borrowers meeting specific criteria. The SBA also released a new Interim Final Rule to provide further clarity surrounding some of the changes.
06.17.20
On Monday, June 15, the Federal Reserve officially launched the Main Street Lending Program, a series of loan facilities aimed at supporting small to medium sized businesses combating the coronavirus pandemic.
06.16.20
Effective June 15, 2020, the Small Business Administration (SBA) announced that it will begin accepting new Economic Injury Disaster Loan (EIDL) applications, as well as the EIDL Advance applications, for all eligible small businesses. Prior to this date, the SBA was only accepting applications from agricultural businesses.
06.10.20
After its initial launch on April 3, the program was oversubscribed within an hour. The Grant Program has since been expanded and applications are now being accepted (as of June 9, 2020) to be processed on a first-come, first-served basis.
06.08.20
The swift passage of the Paycheck Protection Program Flexibility Act (PPP Flexibility Act) of 2020 has brought welcome relief to borrowers who may be nearing the end of the 8-week Covered Period to expend the funds. While Congress has indicated that there is still work to be done on the Paycheck Protection Program (PPP), borrowers are now provided with additional options. Read on for the highlighted included in the PPP Flexibility Act.
05.26.20
The Small Business Administration (SBA) released an Interim Final Rule on May 22 that details the procedures the SBA will undertake to review selected loans, as well as how borrowers and lenders will be impacted.
05.19.20
On May 18, the SBA issued an additional Interim Final Rule surrounding certain circumstances in which aggregated affiliated borrower employee headcount exceeds 500. Provided the PPP funding was applied for prior to May 5, 2020, borrower eligibility will not be impacted if the headcount calculation only included U.S. based affiliated employees whose principal place of residence is the United States. Read more here.
05.26.20
The Small Business Administration (SBA) issued an Interim Final Rule on Friday, May 22 that provides interpretations and clarifications on the requirements governing Paycheck Protection Program (PPP) loan forgiveness and offers guidance to borrowers and lenders in a number of different areas.
05.18.20
On May 15, the Small Business Administration, in consultation with the Treasury Department, released the Paycheck Protection Program Loan Forgiveness Application which answers a number of questions impacting the PPP borrowing community. While the government has indicated that more guidance related to forgiveness is forthcoming, you can review the highlights of the current clarified items here.
05.15.20
On May 14, 2020, the SBA issued an additional Interim Final Rule which includes a provision that allows qualifying partnerships to increase the amount of their existing PPP loans for the self-employment income of partners that was excluded from the initial loan application.
05.14.20
The SBA released on May 13 FAQ #47 extending the deadline now to May 18, 2020 for borrowers who are still considering returning PPP funds. FAQ #47 further indicates that the deadline extension is automatic – there is no requirement for borrowers to separately apply.
05.13.20
On May 12, 2020, the House of Representatives released a $3 trillion, phase four economic relief package. Dubbed “The HEROES Act”, The Health and Economic Recovery Omnibus Emergency Solutions Act is aimed at protecting and preserving households, workers and state and local governments. Read on for the highlights of the package.
05.13.20
The Small Business Administration (SBA) just released updated guidance regarding the Paycheck Protection Program’s loan certification through a new FAQ #46. Read on for a summary of this important information.
>a href=”https://www.saxllp.com/ppp-update-new-faq-released-on-review-of-ppp-certification/”>Read More Here.
05.06.20
The PPP certification requirements have been front and center in the minds of potential borrowers. On May 5, the SBA released an updated set of FAQs which added #43, indicating that the deadline to return PPP funds if it was determined a company could not meet the standard of the good faith certification has been extended from May 7, 2020 to May 14, 2020. Read More Here.
05.04.20
On April 30, 2020, the Federal Reserve released revised Main Street Lending Program terms and conditions, increasing borrower options while loosening certain borrower and lender restrictions and limitations. While the initial Main Street Lending Program contained the Main Street New Loan Facility (MSNLF) and the Main Street Expanded Loan Facility (MSELF), last week’s Federal Reserve release added a third option for borrowers in the form of the Main Street Priority Loan Facility (MSPLF). Read More Here.
05.01.20
On April 30, 2020, the IRS provided clarity surrounding the federal tax implications of funds received under the Paycheck Protection Program (PPP). Specifically, the IRS has confirmed that federal tax deductions are disallowed in situations where the expenses are paid for with forgiven funds received under Section 1106 of the CARES Act. Read More Here.
04.28.20
Now is the time to prepare and plan for COVID-19 recovery through the vehicles of relief that have been made available to us. Specifically, the SBA’s Paycheck Protection Program (PPP) as loans have the potential for all, or a portion of the proceeds to be forgiven if certain criteria is met. With changes constant and released guidance on-going, Sax’s PPP Advisory Task Force has developed the following engagement to provide you and your team with the support necessary to navigate the intricacies of this program during the critical spend down period. View the Engagement Details.
04.29.20
On April 23, 2020 the SBA issued an updated set of FAQs which included an update to the certification a borrower must make when applying for a PPP Loan. In an April 28 interview, Treasury Secretary Steven Mnuchin said, “for all PPP loans over $2 million, the Small Business Administration will be doing a full review of that loan before there is loan forgiveness.”
04.28.20
In a continuing effort to clarify the questions and uncertainties surrounding the Payroll Protection Program (PPP), the SBA issued another set of FAQs on Thursday, April 23, 2020.
We specifically point your attention to FAQ #31, which augments the existing borrower good faith certification that is required as part of the application process. View the full update here.
04.28.20
On April 24, the “Paycheck Protection Program and Health Care Enhancement Act” was signed into law. Dubbed as “CARES 2”, the Act provides a second round of federal stimulus funding, including $310 billion to the Paycheck Protection Program (PPP).
As of April 27, the SBA has begun processing the second round of federal PPP applications. We recommend businesses who are eligible and who have not yet applied submit their applications ASAP. To help with the application process. View our PPP 10 Step Checklist.
04.16.20
Now is the time to prepare and plan for recovery through the vehicles of relief that have been made available to us including the Main Street New Loan Facility, the Main Street Expanded Loan Facility, PPP and EIDL. Read on for important information on the forgiveness piece of the applicable loans.
04.16.20
The Small Business Administration (SBA) released additional guidance on the SBA Loan Incentive Programs available to businesses for COVID-19 relief. Read on for the most recent updates made to the SBA loan programs; An overview and side-by-side comparison of the loan options; Loan forgiveness limits and details; Best practices for appropriately applying for these loans; Outstanding questions and where guidance is needed in the new law. Download PDF.
04.16.20
Here are responses to the most frequently asked questions during our webinar presentations and client discussions with regards to the Small Business Administration (SBA) loan programs available for businesses for COVID-19 relief – the Paycheck Protection Program (PPP) and the Emergency Injury Disaster Loans (EIDL).