SBA's Additional Guidance on Borrower Certification & Salesforce $10K Grants for Small Businesses and Startups
Since we published our last blog on the Paycheck Protection Program: Certifications and Eligibility, the Small Business Association (“SBA”) has issued additional guidance regarding borrower’s certification that the "current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.” The additional guidance, dated April 23, 2020, may be found here at Question 31:
“before submitting a PPP application, all borrowers should carefully review the required certification that ‘current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.’ Borrowers must make this certification in good faith, taking into account their current business activity and their ability to access other sources of liquidity sufficient to support their ongoing operations in a manner that is not significantly detrimental to the business.” (emphasis added).
For companies that have accepted funding from the first round of Paycheck Protection Program financing earlier this month, there is an “Amnesty Program” in which “[a]ny borrower that applied for a PPP loan prior to the issuance of this guidance and repays the loan in full by May 7, 2020 will be deemed by SBA to have made the required certification in good faith.” [FN 1]
Second, in addition to the Facebook Small Business Grants we discussed earlier in our last blog from Marpe Finance entitled $10K Free Money & More For Small Businesses and Startups, Salesforce will be offering their Small Business Grants beginning on April 27, 2020 at 8 am PST. The application for West Coast applicants is here.
Smith Shapourian Mignano PC is available to answer any questions or concerns you may have regarding grant options for your business.
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