Disclaimer: This information was correct at the time of publication; however, new guidance from government agencies may be issued at any time, causing some or all of this information to change. Please visit our COVID-19 Business Strategy Hub for the latest news and ensure you are subscribed here to receive email alerts as they are released. We are working diligently to provide the most current information as it becomes available under our COVID-19 Actionable Insights For Businesses Series.
While the Small Business Administration’s (SBA) Paycheck Protection Program (PPP) reopened for some small businesses earlier this week, the SBA has now released dates for when the program will reopen for borrowers seeking PPP loans from larger lenders. As reported in our previous blog post discussing the opening of the PPP portal, the PPP initially reopened on January 11, 2021, for community financial institutions (CFIs) to make loans to first-time PPP borrowers. CFIs were allowed to make second-draw loans to previous PPP recipients starting Wednesday, January 13, 2021.
The SBA announced that the PPP will extend to reopening for lenders with $1 billion or less in assets on Friday, January 14, 2021, at 9 a.m. ET. The program will begin accepting applications for first- and second-draw loans from large lenders on Tuesday, January 19, 2021.
If your business is planning to apply for a PPP loan, it is best to begin collecting required documentation such as average monthly payroll amounts and quarterly revenue for second-draw loans. Having these items ready will make for a smoother and quicker application process.
For an overview of the borrower requirements for the second round of the PPP, please reference our recent blog posts:
- Breaking News: COVID-19 Relief Bill Just Passed Making PPP Loan Related Expenses Deductible and Providing a 2nd Round of PPP Loans
- The Consolidated Appropriations Act: A Breakdown of COVID-19 Relief for Businesses
- Alert: SBA Opens PPP Portal and Releases Application Forms for PPP Loans
If you need assistance applying for a first- or second-draw PPP loan or calculating for PPP loan forgiveness, the Moore Colson team is here to help. Contact us for more information.
Bert Mills, CPA, is the Managing Partner at Moore Colson. In his role, Bert sets the vision and mission of the Firm and works closely with the Firm’s leadership to drive and implement strategies.
Andy Starnes, CPA, is a Partner and Tax Services Practice Leader Moore Colson. Andy’s specialties include corporate tax compliance and planning, business consulting and multi-generational planning with a focus on the construction, professional services and staffing industries.
Chris Arnone, CPA, is a Partner and Business Assurance Practice Leader at Moore Colson. Chris has over 20 years of experience providing audit, accounting and consulting services for companies in the transportation, manufacturing, distribution, staffing, private equity and venture capital industries.