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PPP Loan Forgiveness – Steps To Take Now While Exercising Patience


Borrowers who received Paycheck Protection Program (PPP Loans) under the CARES Act are now looking towards the loan forgiveness part of the program. The Berntson Porter team continues to monitor PPP developments, and we are preparing our internal team of experts to assist your company in the PPP loan forgiveness process.

For clients who want us to assist in the process, please complete the form linked here and send to your BP representative, who will facilitate an introduction with an expert member of our PPP team. A member of the PPP team will contact you to better understand your company’s specific situation and discuss how we can assist.

Although many companies have exhausted their PPP funds in the 8-week covered period, and are ready to complete the loan forgiveness application, we are advising patience in completing the application at this time for the following reasons:

  • Final guidance is still pending from SBA and Treasury. We have been advised there are additional FAQ’s expected to be released soon, which should provide examples and answer some of the most common questions from borrowers and practitioners.
  • Most lenders are not yet accepting forgiveness applications. It is expected that lenders may begin to accept forgiveness applications in August. Currently, even if a lender is accepting applications, there is no way to submit the forgiveness application to the SBA.
  • Companies have 24 weeks to utilize PPP money and incur payroll expenses. The larger the amount of payroll incurred, the more likely that full forgiveness can be obtained. The benefit of this additional time allows borrowers to adequately plan and utilize PPP funds.
  • Third-party payroll providers are developing custom reports to use as an attachment to the forgiveness application. Note that the payroll providers are waiting on final guidance before finalizing reports on their side.

Once the final guidance is released, it is expected that there will be updates to the current forgiveness applications – SBA Form 3508 and 3508EZ. Borrowers have been advised that they have up to 10 months after the end of their covered period to submit the forgiveness application to the lender.

In the meantime while we all await final guidance and updates, companies can start to assemble documentation related to non-payroll expenses, such as mortgage interest statements, lease or rent documents and utility statements. Reviewing the current rules, utilizing a forgiveness calculator and preparing a draft forgiveness application to gauge forgiveness amounts are all additional steps that companies can take right now to work towards maximizing loan forgiveness.

Berntson Porter is here to help businesses navigate these unprecedented times. Visit our Resource Center for up-to-date information about COVID-19 legislation that impacts you and your business. 


New Name, Same People and Service You’ve Known for Years.

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