PPP Timing of Forgiveness Application

10/20/2020

On June 5 Congress legislated a new date for PPP loan repayment: 10 months from the end of your now 24-week period.  That means the application deadline for PPP forgiveness won’t be until July of 2021 at the earliest. 

Since the initial application was created in June, the government has introduced two new forms that greatly simplify the process for smaller, simpler loans.  The most recent was on October 8. 

For loans under $150,000 another simplification of the process is possible, but that depends on ongoing discussions in Congress.  For those with loans under $150,000, we advise waiting for the process to possibly become simpler and less risky.  We will probably not know more about this until several weeks after the election.

For loans over $150,000 the process will start this week and look like this:

1.    We will send you an email to confirm your interest in having us help you by October 23.  Please answer promptly so we may proceed.  If you have a loan over $150,000 but do not receive this email, please call on Monday, October 26.

2.    If you have not previously signed a PPP engagement letter, we will send you one by October 28.

3.    If we have a signed engagement letter by October 30, we will assign you an application processor by November 3.

4.    The processor will send you an information request by November 5.  The faster we receive the information back, the faster we can proceed.

5.    We anticipate providing you an actionable result within one week of receiving all your information.  Once provided, we will offer assistance with the bank’s portal.  If you want our assistance with the portal, it must be scheduled with your presence (we will log into your system) so you can attest.  We are unable to attest on your behalf.

If you choose not to sign an engagement letter with us, bear in mind that we are only able to provide documents to you without any analysis.  That means we take no responsibility for the calculations or the application itself.  Furthermore, it is not clear that the application can be changed once accepted.  If so, and the application results in not all the loan being forgiven, that may be your final outcome.

Please contact us if you have any questions.

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