We promised to write weekly to keep you updated on PPP Loan Forgiveness.
There are no concrete new developments on which you or we can act.
We will share with you that we are tracking a bill introduced in the US Senate called the Paycheck Protection Small Business Forgiveness Act which would give automatic and complete loan forgiveness to all borrowers of $150,000 or less after submitting a one-page attestation form. This bipartisan legislation has the support of some very powerful lawmakers from both sides of the aisle. We are sure you will agree, this could be pretty exciting news for many borrowers.
Even if your PPP Loan is greater than $150,000, enactment of this legislation would allow the US Treasury, SBA and lenders to implement more quickly a loan forgiveness application process tailored to your needs and circumstances. And, because well over half of Customers Bank’s PPP Loans are less than $150,000, we would have more time to devote to personal service on the more complex forgiveness applications.
Reports from Washington are that this legislation could be adopted and enacted before the end of July.
So, what do you do meanwhile? Here are two ideas:
- Gather and analyze your payroll records so that you can decide how you will measure your baseline employee count. There are several permissible methods including alternatives for seasonal employees.
- Start gathering your documentation of payroll, health benefit expenses, employer paid taxes, rent, utilities and other eligible expenditures of PPP funds.
You can find details on both of these topics and other guidance on our PPP resource page. If you have any questions, or immediate needs, please call or email me anytime.