The Paycheck Protection Program Loan Forgiveness Application: Cracking the Code and Deciphering the Confusion
As noted in our previous alert , SBA recently released its long-awaited PPP Loan Forgiveness Application. Unfortunately, the Forgiveness Application is difficult to understand and complete. To help crack the code, we have put together the following analysis with our review of the application, SBA’s newly released guidance as to the loan terms, and key issues in the application, as well as input from our accounting partners. 1. Necessary Documents Before you fill out your Forgiveness Application, you will need to have . . . Read More
BLOG: CARES Act Section 3610 – Part 1: Confusion and Shifting Sands
As we noted previously , last week Defense Pricing and Contracting issued draft instructions and requirements for contractors submitting funding requests under Section 3610 of the CARES Act. These requirements contain some departures from previous guidance and define several points that previously were left up to a contracting officer’s discretion. In this two-part blog series (visit this link for Part 2), we examine some of the key areas in which the guidance either clarified or, in some cases changed, existing practice. First, . . . Read More
Weekly Update for Government Contractors and Commercial Businesses – May 15, 2020
If you have questions concerning the content below, please visit this link . COVID-19 Client Resource Center: To access resources for businesses navigating the COVID-19 crisis, we invite you to visit PilieroMazza’s “ COVID-19 Client Resource Center .” Please contact covid19@pilieromazza.com for immediate assistance. CLIENT ALERT: SBA, Treasury Issue New Guidance Concerning Good-Faith Certification on the Necessity of Loan Request, May 13, 2020, Cy Alba , Kathryn L. Hickey, and Jon Williams . [ Read More ] CLIENT ALERT: SBA Implements WOSB / EDWOSB Certification Requirement and Revises Economic Disadvantage Criteria for . . . Read More
House Introduces New Legislation Allowing Startups To Access PPP Funding
On May 8, 2020, Congresswomen Anna Enshoo and Cathy McMorris introduced the Caring for Startup Employees Act of 2020 , a bipartisan piece of legislation aimed at granting more economic assistance to startup companies through the Paycheck Protection Program (PPP). Should this bill become law, it would dramatically increase the number of companies eligible for PPP loans. Under current Small Business Administration (SBA) guidance and regulations—specifically the agency’s “affiliation rules”—many startups are unable to receive PPP funds because they do not have a majority shareholder. The Caring for . . . Read More
BLOG: FAR Council Rulemaking Error Requires GSA Contractors to Qualify As Small at Time of Award for Certain Orders
As we recently wrote , the FAR Council published a final rule (Rule) on February 27, 2020 that amends the Federal Acquisition Regulation (FAR) to capture regulatory changes made by the Small Business Administration (SBA) in 2013, including those pertaining to size representation/certification. However, in drafting the Rule, the FAR Council made a critical change that not only deviate from SBA regulations, but also run counter to everything we know about when the size status of a contractor is determined. All small . . . Read More
CARES Act and PPP: Important Updates Regarding Loan Forgiveness Calculations and Returns
On May 5, 2020, the Small Business Administration (“SBA”) and U.S. Treasury Department (“Treasury”) revised their FAQ concerning the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) and the Paycheck Protection Program (“PPP”). Of note, this new guidance clarifies PPP loan forgiveness amount calculations and extends the deadline for PPP borrowers to return loan proceeds. According to Question 40 of the FAQ, a PPP loan borrower’s forgiveness amount will not be reduced should the company make a good faith attempt, . . . Read More
$484 Billion Relief Bill Signed Into Law, $310 Billion Allocated to Paycheck Protection Program
H.R. 266 , the Paycheck Protection Program and Health Care Enhancement Act, was signed into law today. Appropriating $484 billion in relief for the COVID-19 outbreak, it provides additional funding for small business loans, healthcare providers, and COVID-19 testing. The Small Business Administration (SBA) has been unable to accept new applications for the Paycheck Protection Program or the COVID-19 related Economic Injury Disaster Loan (EIDL) assistance program (including EIDL Advances) because Coronavirus Aid, Relief, and Economic Security Act funding was exhausted. The . . . Read More
Weekly Update for Government Contractors and Commercial Businesses – April 24, 2020
If you have questions concerning the content below, please visit this link . COVID-19 Client Resource Center: To access resources for businesses navigating the COVID-19 crisis, we invite you to visit PilieroMazza’s “ COVID-19 Client Resource Center .” Please contact covid19@pilieromazza.com for immediate assistance. SMALL BUSINESS PROGRAMS & ADVISORY SERVICES $484 Billion Relief Bill Signed Into Law, $310 Billion Allocated to Paycheck Protection Program, April 24, 2020, Dave Shafer H.R. 266 , the Paycheck Protection Program and Health Care Enhancement Act, was signed into law today. Appropriating $484 . . . Read More
BLOG: Do You Meet the Unique Eligibility Requirements for a PPP Loan?
If you missed the first batch of loans under the Paycheck Protection Program (“PPP”) and want to determine if you are eligible for the next wave of funding that is expected to be added soon, this is what you need to know. Not surprisingly, given this is a very sought-after program, PilieroMazza attorneys are fielding a lot of questions from firms wondering if they qualify for a PPP loan. There are several requirements that need to be considered when assessing eligibility . . . Read More
Weekly Update for Government Contractors and Commercial Businesses – April 10, 2020
If you have questions concerning the content below, please visit this link . COVID-19 Client Resource Center: To access resources for businesses navigating the COVID-19 crisis, we invite you to visit PilieroMazza’s “ COVID-19 Client Resource Center .” Please contact covid19@pilieromazza.com for immediate assistance. SMALL BUSINESS PROGRAMS & ADVISORY SERVICES CARES Act Guide for Small Business Owners The U.S Senate Committee on Small Business and Entrepreneurship released a guide for major programs and initiatives under the Coronavirus Aid, Relief, and Economic Security (CARES) Act that will . . . Read More