What is the PPP?
Also known as the Paycheck Protection Plan, the PPP provides loans to businesses to keep their employees with jobs during the COVID crisis.
Does the money from the PPP come from the government?
The PPP is not government funded, but rather bank funded. It is the bank’s money.
What does the PPP do?
The PPP is a Small Business Administration (SBA)-backed loan, so borrowers may be eligible for PPP loan forgiveness.
Is the PPP considered income?
Congress has said that forgiven PPP loans are completely tax-exempt and is not a taxable income.
Can anyone apply for it?
If you have a small business with less than 500 employees, then you are eligible. This includes nonprofits, self-employed individuals, veteran organizations, independent contractors and sole-proprietorships.
If you are solely paid through owner’s draws and/or distributions and did not pay payroll tax, then you should not apply for PPP.
How long do I have left to apply for it?
You have until March 31, 2021 to apply. Don’t miss out, call ATG today 704-733-7819.
Do you have to pay it back?
If you are not approved for loan reduction or forgiveness, you must repay the borrower the remaining balance due on the PPP.
How much can you get?
For a first-time borrower, typically the max amount granted is 2.5x your average monthly payroll costs, up to $10 million.
For sole proprietors and independent contractors without employees, the max amount given via PPP is $20,833. That entire amount is automatically eligible for forgiveness as owner compensation replacement.
The smallest PPP loan amount administered is $1000.
What can you use the PPP for?
You must use at least 60% of the loan on payroll costs.
Mortgage interest, rent and utilities are permitted to make up the other 40%. Be sure to read the guidelines for this, for the PPP is solely meant for payroll protection.
As long as you haven’t lain off employees, or have replaced the workers who have left and have spent at least 75% of the loan on payroll, then you have the chance of loan forgiveness.
Can I apply for PPP and EIDL?
Yes, but the funds given cannot be used for the same purpose.
If you get EIDL after PPP: You can use the EIDL once you have exhausted the funds from the PPP after two months have passed. If you received both loans or refinance an EIDL into a PPP loan, the EIDL grant amount will be subtracted from the amount given in the PPP loan.
How can I get PPP?
Call ATG today to get quoted and to start the process. Keep in mind the deadline is March 31st
What if I own more than one business, do I have to get the PPP for all of them, or for just one business?
You must disclose all and any affiliated companies when applying for the PPP. The funds administered by the PPP should be used to pay employees of all entities.
**Keep in mind that your employees maintain the right to report if they suspect PPP fraud.
What do I need to get started?
Call ATG today for ease of mind when it comes to applying for the PPP. We can match you with a lender and break down all the legal terms associated with receiving PPP.
Is the PPP based on my personal or business credit?
There is not a credit check for the PPP loan, however if you apply for an EIDL, your credit is a determinant.
What is PPP loan forgiveness?
88% of those who have applied for forgiveness and whose loans are up to $50,000, have received it.
If you have used ALL of the PPP funds for qualifying payroll and benefit costs, then your loan is more than likely forgivable.
How do I get PPP loan forgiveness?
If you have followed all the rules and requirements given by the SBA, then you can fill out a loan forgiveness application. Businesses will have to submit the application to the same financial institution they received the PPP from.
You will need to provide: Your business name, ETIN, SSN, or EIN; as well as the SBA loan number, PPP loan amount, and EIDL advance amount, if applicable.
When should I apply for PPP forgiveness?
You can apply for forgiveness within the first 10 months after the end of the ‘covered period’, this meaning that at the 24-week mark from when you received the PPP loan. Your lender (aka the bank) has two months to process the loan forgiveness application and then the SBA has up to three months to approve your forgiveness.
Fill out the form below to get in contact with our staff at ATG to find out if you qualify for the PPP loan.