Last night a 32-page update was released which among other things clarified that outside contractors should not be utilized in the calculation of the PPP loan amount and increased the interest rate on the PPP loans from .5% to 1%. In addition, a new application was uploaded and is available here.
I know many of you are anxious to get your loan application in and are frustrated that many of the banks are not yet accepting the applications yet. From our conversations, we know that there are some banks that are accepting applications, but many of them are only taking them from existing bank clients. In addition, other banks have reported that applications will be available over the weekend or early next week. As stated above, the regulations and application have been changing so it is taking banks time to develop appropriate systems and platforms to accept and process these loans.
Our advice is to keep open communication with your bank, make sure you understand what information they will require so you can have it available, and understand what period of time they are utilizing to calculate payroll … some banks are utilizing 2019 data while other are looking at the last 12 months.
We understand that these are stressful times, both personally and professionally. We are here to help in any way we possibly can.