- Mar 7, 2016
- Reaction score
- Fencemans place...central Texas
Good post..I would encourage you to read and understand the rules prior to signing up. My daughter has a PPP loan from the first round. Her business is an LLC. She does not pay herself as an employee of the business. She just takes money out of the business account and moves it to her personal account as needed for her profit/compensation. The accounting method used does not treat her as an employee, but as the owner. Her conclusion for the first round of PPP was that the loan amount had to based on the payroll for her employees, not including herself. If she had been paying herself and treating herself as an employee, the loan amount (free money) could have been increased by 10 weeks of her pay. That was her understanding. It may have changed in these later rounds. Just be sure you understand the rules for your specific situation. There was much confusion on the first round and much paperwork for loan forgiveness. She submitted the paperwork. My understanding is that they are overwhelmed with the review of the first round forgiveness paperwork and are considering auto approval below certain size loans, but completed paperwork is required.
Also if I understand correctly. To qualify for second round you have to have had a 25 percent decrease in sales. From the previous year.
We actually had considerable growth during the" planed demic"