PPP Lending, Inc. offers loan packaging services associated with the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which provides relief for small businesses and their employees who are adversely affected by the outbreak of COVID-19. The cornerstone provision is the "Paycheck Protection Program", an emergency lending facility, administered by the Small Business Administration (SBA) under its 7(a) lending program. Under the Paycheck Protection Program, small businesses can obtain loans equivalent to 250 percent of the employer’s average monthly payroll costs, up to $10 million. In addition, borrowers are eligible for loan forgiveness, based on the sum of covered expenses following the 8 week period after the loan is funded. However, the loan forgiveness will be proportionally reduced if the average number of employees is reduced during the covered period as compared to the same period in 2019. For many businesses, the entire loan may be forgiven. Note that any amount of loan forgiveness is not subject to income tax.
For a detailed explanation of the Paycheck Protection Program, courtesy of the Economic Innovation Group, please click here.
The Paycheck Protection Program will be finalized with the SBA and ready to process loan applications on April 3. Please click here to contact us and start your loan application.
Loan Packaging Services
In order to maximize your chances of a timely loan approval, it is important that your loan documents are packaged together in a detailed and easy to understand way. Our services will include:
- In depth discussion of the Paycheck Protection Program and how it relates to your business.
- A comprehensive review of your payroll data to determine the maximum loan amount that you qualify for.
- Discuss the amount of loan that may be forgiven based on your specific business and associated expenses. This will involve a thorough examination of your business accounting records.
- Discuss the methods by which to document expenses during the 8 week period following the loan funding in order to take full advantage of the amount of loan that will qualify for forgiveness.
- Complete the loan application and associated schedules, including detailed payroll information.
- Work with lender to ensure you receive the most favorable loan terms possible.
- Ensure that the process is as simple as possible for you. That way, you can focus on business operations as opposed to completing paperwork.