New Guidance Shields Businesses With Sub-$2 Million PPP Loan
Earlier today (May 13), the Small Business Administration (“SBA”) released important guidance regarding Paycheck Protection Program (“PPP”) loan recipients. Recipients of PPP loans were required to certify that they applied for the loan in “good faith” in order to avoid criminal prosecution.
Today’s guidance places those who received less than $2 million in PPP funds into a “safe harbor” whereby they are automatically deemed to have made the required certification concerning the necessity of the loan request in good faith. Prior to this SBA guidance, many small businesses expressed concern over how they would certify they made the PPP loan request in good faith. This new guidance eliminates that concern for any business who received less than $2 million in PPP funding.
At Beresford Booth, we continue to monitor the constant developments in PPP loans and guidance being issued by the SBA. We host frequent webinars, which you can find here, and remain available online and over the phone to assist you with your questions. Call us today.