Last week several iterations of the requirements for the SBA's Paycheck Protection Program (PPP) were circulated and the program officially began accepting applications on Friday. However, over the weekend more guidance was delivered that could change eligibility for some businesses and additional required forms were disseminated. While the PPP was intended to deliver straightforward and rapid assistance for employees who have 499 or fewer co-workers, complications and speedbumps have ensued.
Our nation hopes that Monday brings a final understanding of the program and rapid processing for the thousands of businesses trying to hold on to their workers. Most banks that haven’t started receiving applications yet plan to do so today.
The money is first come, first served. And many expect that applications received after the first several days will be too late.
Considering applying for this program and stress testing your income statement and balance sheet to properly plan for the wide array of scenarios that could unfold over the next few weeks are critical actions every small and mid-market business owner should be doing right now. This will be needed for pivotal retain vs. layoff decisions and for negotiating with debt and equity stakeholders.
Getting your application in order and getting your plan laid out are critical. Fees for someone assisting with the SBA application are often paid by the SBA through your lender and are no additional cost to you.
We’re looking forward to helping you get through this next chapter in your business and helping you emerge on the other side stronger than ever.
For more information and to discuss next steps, please reach out: https://www.emergedynamics.com/contact