June 22, 2020

SBA Updates PPP Loan Forgiveness App; Will Release Names Of Businesses That Took Loans

The U.S. Small Business Administration and the U.S. Department of the Treasury announced on June 19 that they have reached an agreement with members of Congress “to make public additional data regarding the Paycheck Protection Program (PPP)” in order to “ensure that the interests of both transparency and protections for small businesses are served.”

Specifically, SBA will disclose the business names, addresses, NAICS codes, zip codes, business type, demographic data, non-profit information, jobs supported, and loan amount for businesses that received loans in excess of $150,000. This range will encompass about 75 percent of the loan dollars approved under the PPP. For loans below $150,000, totals will be released, aggregated by zip code, by industry, by business type, and by various demographic categories.

Also last week: the SBA released an updated application form for PPP borrowers seeking loan forgiveness. The new form is here. Instructions are here and SBA’s rule implementing the changes is here.

The U.S. Chamber of Commerce has published an updated version of the previously shared Guide to PPP Loan Forgiveness. The updates were made to reflect the changes made to the PPP following the June 2020 passage of the Paycheck Protection Program Flexibility Act, which eased rules around how small businesses can use their loan funds. Click here to view the U.S. Chamber’s updated Guide to PPP Loan Forgiveness.

In addition to revising the full forgiveness application, the SBA also published a new EZ version of the forgiveness application that applies to borrowers that:

  • Are self-employed and have no employees; or
  • Did not reduce the salaries or wages of their employees by more than 25 percent, and did not reduce the number or hours of their employees; or
  • Experienced reductions in business activity as a result of health directives related to COVID-19 and did not reduce the salaries or wages of their employees by more than 25 percent.

Click here to access the EZ form and click here for the latest information on the PPP from the U.S. Treasury Department.