The most significant benefit of the Paycheck Protection Program is the opportunity for the full amount of the loan to be forgiven. Loan forgiveness is based on payroll costs, rent, utilities, and mortgage interest expenses during the 24-week period following funding of the loan. Here, we have put together a list of resources that will help Pursuit PPP borrowers get organized around loan forgiveness.
Loan forgiveness updates
Pursuit will be using a staggered forgiveness invitation to borrowers based on their loan size and funding date. Pursuit will provide invitations to apply based on the following schedule (based on the loan funding date):
- Loans funded in April and May 2020 ($150,000 and less): We originally corresponded that forgiveness invitations would be sent in December and January 2020. However, legislation was recently signed into law which will make the forgiveness process significantly easier for loans $150,000 or less. Therefore, we are holding off on sending forgiveness applications to this group. As soon as updates are available, we will be in touch with borrowers by email.
- Loans funded in April 2020 (greater than $150,000): Forgiveness invitation sent in December 2020
- Loans funded in May 2020 (greater than $150,000): Forgiveness invitation sent in January 2021
- Loans funded in June 2020: Forgiveness invitation sent in February 2021
- Loans funded in July 2020: Forgiveness invitation sent in March 2021
- Loans funded in August 2020: Forgiveness invitation sent in March 2021
Please be patient and wait for us to be in touch with you regarding your application so we can provide the highest level of service. To help facilitate a streamlined process and assemble the optimal package for forgiveness consideration please closely review our Loan Forgiveness Application Guide for step-by-step instructions and important considerations related to your PPP loan.
Thank you for your continued patience.
Loan forgiveness process
Although the PPP program is governed by SBA, Pursuit made your PPP loan and we will be assisting you in completing the forgiveness application. We will also process it with SBA – all communication about loan forgiveness will go through Pursuit.
Where to get assistance with loan forgiveness
We understand that the loan forgiveness process can feel overwhelming. Luckily, there are resources to help. We also encourage you to visit the SBA’s website for information.
Pursuit is available to assist with the rules and processing of your forgiveness application, but we are unable to provide in-depth business advice on loan forgiveness. We recommend that you speak with your accountant, business advisor, or seek assistance from a local Small Business Development Center. (You can locate one near you on the SBA website here).
Please be aware that there is no need to pay a third party “expert” to maximize PPP forgiveness. Be wary of those who claim they are experts in this area, especially as many details have yet to be released by SBA!
SBA and the U.S. Treasury Department have published a variety of resources for borrowers related to PPP forgiveness. We’ve aggregated these resources for you here:
- CARES Act
- PPP Flexibility Act
- Interim Final Rules:
- General Program Guidance (4/2/20)
- Applicable Affiliation Rules (4/3/20)
- Eligibility Criteria for Self-Employed and Independent Contractors (4/14/20)
- Requirements for Promissory Notes, Authorizations, Affiliation, and Eligibility (4/24/20)
- Additional Criterion for Seasonal Employers (4/27/20)
- Disbursements (4/28/20)
- Corporate Groups and Non-Bank Lenders (4/30/20)
- Nondiscrimination and Additional Eligibility Criteria (5/5/20)
- Safe Harbor Regarding Certification of Need (5/8/20)
- Loan Increases (5/13/20)
- Eligibility of Certain Electric Cooperatives (5/14/20)
- Treatment of Entities with Foreign Affiliates (5/18/20)
- Second Extension of Safe Harbor (5/20/20)
- Frequently Asked Questions (6/26/20)
- How to Calculate Loan Amounts
- Loan Forgiveness Application (Full) with Instructions
- Loan Forgiveness Application (EZ) with Instructions
- U.S. Chamber of Commerce Summary