PPP Flexibility Act Signed into Law by POTUS

As another work week concludes in America, PPP borrowers have received a new set of changes to the SBA PPP program that has drastically altered the program as we know it.  As many of our loyal readers are aware, frequent changes “come with the turf” as the rules surrounding PPP loans are modified on a weekly, if not more frequent basis.

Round 1 borrowers are particularly impacted as they approach the end of their 56-week covered period.  These borrowers are left wondering “what do we do now” given that a new law has just been passed.  Of course, the SBA will still have to weigh-in on the PPP Flexibility Act and issue new Interim Final Rules (IFR) creating regulations for borrowers to follow.  If the CARES Act is any indication, new IFRs could take weeks if not months to be created and may cause even more confusion than the law itself.

Our team has reviewed the most recent version of the PPP Flexibility Act. The following is a summary of the key changes to the PPP that were created by the PPP Flexibility Act. We also provide additional insight into the questions that still remain.

To read our complete summary, please click here.

 

PPP FLEXIBILITY ACT SIGNED INTO LAW BY POTUS published June 5, 2020.

DISCLAIMER:  The WM Daily Update COVID-19, COVID-19 Business Resources and COVID-19 Client News Alerts and other related communications are intended to provide general information on legislative COVID-19 relief measures as of the date of this communication and may reference information from reputable sources. Although our firm has made every reasonable effort to ensure that the information provided is accurate, we make no warranties, expressed or implied, on the information provided. As legislative efforts are still ongoing, we expect that there may be additional guidance and clarification from regulators that may modify some of the provisions in this communication. Some of those modifications may be significant. As such, be aware that this is not a comprehensive analysis of the subject matter covered and is not intended to provide specific recommendations to you or your business with respect to the matters addressed.