On June 5, 2020, the President signed the PPP Flexibility Act into law, easing restrictions imposed by the CARES Act and the Small Business Administration (SBA). The CARES Act created the Paycheck Protection Program (PPP). The PPP assists small businesses, including nonprofits, with maintaining their payroll by providing forgivable loans. The details of the original …
The most recent guidance from the Small Business Administration (“SBA”) on the Payment Protection Program (“PPP”) clarifies various components of its anticipated PPP loan review process. In addition to releasing the forgiveness application, which includes forgiveness calculation worksheets, the SBA guidance explains the review process and provides clarity on some of the eligibility requirements that …
On May 15, 2020, the Small Business Administration (SBA) released its PPP loan forgiveness application and instructions providing guidance to PPP loan borrowers. The welcome instructions come more than six weeks after PPP loan applications were first accepted. The guidance strays from the original legislation (the CARES Act) in some parts and clarifies some of …
Nonprofits have been struggling to successfully apply for PPP Loans under the Paycheck Protection Program (PPP). PPP is the government program that provides forgivable loans to small businesses that keep their employees. Whatever the reasons, nonprofits with 500 or fewer employees are encouraged to apply. As of this writing, $125 billion remains to be distributed. …
As the COVID-19 pandemic disrupts normal nonprofit operations, many nonprofit leaders are wondering how to operate their organizations during a national emergency. For many nonprofit boards, this may be the first time they have had to govern during a crisis. Although it may be difficult, or at times impossible, to continue with normal board actions, …
In the wake of the chaos of applying for a loan under the Paycheck Protection Program (PPP), borrowers are now uncertain if they even qualify for the PPP loan they have already received. The Small Business Association (SBA) released an updated FAQ with guidance that should make borrowers think harder about the required certification they …
