Once again, we have a story about PPP loans. We just learned something that we did not realize was in the last bill, and it’s kind of exciting! The original PPP loans were basically to cover payroll, rent, and some taxes–it’s fairly limited on what you could actually spend the funds for and then achieve forgiveness. As it happens, most of the loans under $150K or less are being automatically forgiven anyway, but there are many companies that got very large loans–big restaurant companies and whatnot–who needed the money to cover the payroll and keep their staff together.
This guidance is just out on other acceptable things that you can use PPP funds to pay for. Those costs include any operating or capital expenditure required to adapt the business and comply with the guidance and rules issued by state local and federal agencies related to sanitation, social distancing, and worker safety requirements according to the SBA guidance. These things may include some PPP. It’ll also include renovation or creation of a drive-through window, indoor or outdoor air to air pressure ventilation or filtration systems, physical barriers such as sneeze guards, expansions of additional indoor/outdoor or combined business space, and on-site/off-site health screening capability, and other equipment such as respirators.
This is actually huge! We very much applaud this. Businesses have been run through the ringer just to try to stay open, and many times we’re not even allowed to be open, in order to do this. For the government to give us the PPP funds and allow you to use those funds for adapting to the pandemic, we think is great. This is a great adjustment by the federal government and the SBA, so take a look at the article we linked to above.
As always, if there’s any way we can help you, please let us know!