As we noted previously, the Small Business Administration’s (SBA) final rule updating the qualification requirements for the 8(a) Business Development (BD) Program will go into effect on July 15, 2020. Importantly, for individuals considering the 8(a) BD Program, the final rule will increase thresholds for qualifying as “economically disadvantaged” and remove prior distinctions between
Increased Flexibility in Paycheck Protection Program
On June 5, 2020, the Paycheck Protection Program (PPP) was amended by the Paycheck Protection Program Flexibility Act of 2020 (PPPFA). PPPFA gives borrowers relief from some of the original terms of the PPP loans (as well as terms imposed by the Small Business Administration (SBA) through Interim Final Rules and other guidance) by
All Small Mentor-Protégé Program 2020 Mid-Year Report
The Small Business Administration (SBA) began accepting applications for the All Small Mentor-Protégé Program (ASMPP) in 2016 and has seen a surge in applications in each successive year.
Under the ASMPP, any small business – including 8(a) small businesses, Historically Underutilized Business Zone (HUBZone) small businesses, veteran-owned and service-disabled veteran-owned small businesses (VOSB/SDVOSBs), woman-owned and
SBA Issues Interim Final Rule on PPP Loan Forgiveness
Under the Paycheck Protection Program (PPP), borrowers can seek loan forgiveness of the full principal amount of loans as early as eight weeks after disbursement of the loan proceeds. On May 22, 2020, the U.S. Small Business Administration (SBA) issued its Interim Final Rule regarding the loan forgiveness application process in advance of anticipated loan
SBA Extends PPP “Safe Harbor” to May 18
The Small Business Administration (SBA) issued a second update to its answers to frequently asked questions about the Paycheck Protection Program (PPP) on May 13, 2020. This update extends the “safe harbor” period for businesses to return funds received under the PPP and be deemed by the SBA to have submitted their prior certification of
SBA Issues Long-Awaited Rule on Women-Owned Small Business Certification
The Small Business Administration (SBA) recently published its long-awaited final rule implementing a 2015 statutory requirement to certify Women-Owned Small Business Concerns (WOSBs) and Economically Disadvantaged Women-Owned Small Business Concerns (EDWOSBs) participating in the Procurement Program for Women-Owned Small Business Concerns. Notably, the SBA’s final rule also adjusts the dollar threshold for determining whether an
SBA Updates “Economic Uncertainty” Certification Guidance
The Small Business Administration issued an important update to its answers to frequently asked questions about the Paycheck Protection Program (PPP) on May 13, 2020:
Question: How will SBA review borrowers’ required good-faith certification concerning the necessity of their loan request?
Answer: When submitting a PPP application, all borrowers must certify in good faith that
SBA Extends PPP “Safe Harbor” to May 14, 2020, and DOJ Announces First PPP Charges
The Small Business Administration (SBA) updated its answers to frequently asked questions about the Paycheck Protection Program (PPP) on May 5, 2020, as follows:
Question: FAQ #31 reminded borrowers to review carefully the required certification on the Borrower Application Form that “[c]urrent economic uncertainty makes this loan request necessary to support the ongoing operations of
Federal Reserve Expands Scope of Main Street Lending Program and Announces New Details
On April 30, the Federal Reserve announced substantial changes to the initial terms of its Main Street Lending Program originally released on April 9, 2020:
After receiving over 2,200 comment letters and consulting with investment banks and financial institutions about the initial terms, the Federal Reserve has now expanded the scope of available loan options
PPP Funds Expanded and SBA Provides Continued Guidance on PPP Loans
On April 24, 2020, the Paycheck Protection Program and Health Care Enhancement Act was signed into law and provided an additional $310 billion for the Paycheck Protection Program (PPP). The Small Business Administration (SBA) resumed accepting PPP loan applications on April 27, 2020. In light of the quick exhaustion of initial PPP loan funds, eligible