On January 6, 2021, the SBA (Small Business Administration) issued guidance on PPP (Paycheck Protection Program) by way of 2 interim final rules (IFR). The SBA will use the consolidated guidance of PP1 and these 2 IFRs to apply to PPP2. Withum, tax and assurance advisors, has put together a summary of the guidance to help us understand. Check out the full article here.
The biggest take-away for me is that borrowers under PPP1 are eligible for loans under PPP2; see article above for eligibility details of visit that SBA website. If you are interested in applying for the second round , the SBA has provided a list of Participating Lenders. Round 2 will be handled similarly through private lenders for management of the loans as well as the forgiveness application process. If you currently have a banking relationship contact your representative for guidance, as I learned with PPP1, each institution handles the program processing differently.
For more detail on the interim rulings you can check out the SBA webpage for PPP here.
Welcome to 2021, I will say it was nice to see that a second round of assistance is being offered up for small business. These days we always need to remember to look for the silver lining, be thankful for what we have, and be strategic in planning for our needs.