If you were an early Paycheck Protection Program (PPP) borrower who has not yet applied for forgiveness, your loan payments may be due soon.
Under the PPP guidelines, borrowers are eligible to apply for forgiveness at any time before their loan’s maturity date. If you do not apply for forgiveness within 10 months after the last day of the loan’s covered period (8-24 weeks from the date of your loan disbursement), PPP loan payments will no longer be deferred and you must begin to make payments to your lender, regardless of whether you expect to have your loan forgiven. If your loan is forgiven after you have made payments, you will receive a refund.
If you haven’t applied for forgiveness yet, it’s not too late. Borrowers can apply for forgiveness through your lender, who will submit your forgiveness application to the Small Business Administration (SBA). If forgiveness is not granted, your lender will notify you of your first payment deadline.
If you have questions about the PPP payment deferral period, payment deadlines, or forgiveness application process, leave a comment below or feel free to reach out to me directly, I’m happy to help!