Paycheck Protection Program – SBA Guidance

The Small Business Administration (the "SBA"), in consultation with the Department of the Treasury, has been providing, on an ongoing basis, additional guidance concerning the implementation of the Paycheck Protection Program ("PPP") under the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act"). 

The following is a summary of guidance provided with respect to the SBA's review of borrowers' certification concerning the economic necessity of their PPP loan application, as well as clarifications regarding (i) borrower eligibility, and (ii) the scope of Payroll Costs under the PPP.  Note this recent guidance also provided clarifications with respect to other matters that affect borrowers and lenders.