Insider has reported on  the Payroll Protection Program in which the SBA was tasked with supporting small businesses through a loan program that was ultimately funded to the tune of $659 billion.  The PPP program was due to expire at midnight on June 30 with funds remaining, but just hours before the expiration of the program, Congress authorized an extension through August 8. Currently, the application window is now closed.

This week, the Small Business Administration launched their Paycheck Protection Program loan forgiveness platform for lenders to begin submitting applications.

While the SBA has initiated the loan forgiveness process, many national and local banks have not begun accepting applications. There are a couple of reasons for this.

• The SBA forgiveness platform is new and with anything new, there will likely be a few issues.
• The banks want to allow the SBA some time to work through unforeseen glitches in the platform before beginning to accept applications.

In the meantime, Insider wants to encourage patience and not rushing into this process. Remember, you will have time to apply for your loan forgiveness.

One other item to watch is, though little progress has been made, lawmakers continue to discuss the option for forgiveness of all PPP loans less than $150,000 with the completion of a simple, one-page forgiveness document. Also in talks are concessions to loans less than $350,000.

Insiders’ Take: What should be a fairly easy process is being tied up in Congress by other, more political priorities. Hopefully our legislative branch will get some clarity that supporting small business makes sense. Insider believes for now, it is important to wait for final guidance on the forgiveness requirements and process before moving forward on your forgiveness applications.

[wpforms id=”9787″]

Paid Advertisement