On June 19, 2020, Allyson Baker was featured on Legal Talk Network’s podcast Legal Talk Today discussing the Paycheck Protection Program and what business owners need to know about its debt forgiveness requirements.
“What the Paycheck Protection Program does is allow small business to receive a loan that is equal to two and a half times their average monthly payroll. That loan in turn can be converted into a grant provided that certain parameters are met and certain permissible expenses are shown and made using those loan proceeds,” said Baker.
“Over the course of a period of time, whether it’s eight weeks or now 24 weeks, the borrower is able to spend loan proceeds on four categories of permissible expenses: payroll, rent, utilities, or mortgage interest,” Baker added. “The other requirement is that you spend at least 60% of the loan proceeds for which you seek forgiveness on payroll costs.”
Click here to listen to the podcast.