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Hi everyone,

Anyone getting anywhere with the Payroll Protection Program loan/grant?

I am always skeptical of such things, very suspicious when someone says "Hi, I am from the government and I am here to help you."

However, this looks like it may provide real money, without repayment, if that money is used for salary/rent/utilities.

Our accountant advises applying for this, and he is getting the documents necessary for proof. However, the local bank that we deal with said they are not yet up and running and do not have a time course for when they will be.

Thanks.

Gene

PPP is the Paycheck Protection Program:

https://home.treasury.gov/system/files/136/PPP--Fact-Sheet.pdf

https://www.sba.gov/document/sba-form--paycheck-protection-program-borrower-application-form

Googling for Paycheck Protection Program will show a fair amount of confusion and changes.

But the sooner you start the process, the sooner you're like to get something--it's first come, first served.

(People are often calling it the "Payroll" Protection Plan, but "Paycheck" is the real name.)

Yeah, just in case things are not confused enough....Just got this from our accountant....




"Last night at approximately 8:30 pm, the SBA issued a 30 page “Interim Final Rule” regarding the 7A loan program for the Paycheck Protection Program. There remains a conflict between the instructions and the law passed last Friday regarding the time period to use for the calculation of Average Monthly Payroll. Most banks are meeting today to decide what time period to use for the Average Monthly Payroll. We have heard from 2 banks so far. First United Bank will be using calendar year information. M&T Bank is analyzing the changes and will not be processing applications until Monday. We have no guidance from other banks yet.

So we are recalculating Average Monthly Payroll for clients using First United Bank. We will not be finalizing or recalculating amounts for clients using other banks until we obtain further guidance. This will obviously delay the completion of our work by a few days. Please feel free to contact your bank if you would like further clarification.

Also, the application changed last night as well. Please find attached the revised application for you to complete."



Gene

All of us should be applying for this, IMHO. It means you can keep your staff employed.

I agree, but our bank said they are not at all ready, still developing an application procedure. And we use Regions Bank, one of the big ones.

BTW, they don't really give you a lime green bike when you open an account. I was bitterly disappointed.

Got the form and gonna start filling it out, my practice bank, Webster, is also listed as a lender under the program guess we will see.

Filled out the form for the triple P and submitted to my local community bank 03APR2020. Now the wait.

Mines in also, guess we will see.

Just uploaded my application as well

Gene

We received our loan through the bank where we have our business account. My understanding is that employer IRA deposits are considered part of payroll, so if we have reduced payroll during the 8-week period following our receipt of the loan funds, we can use IRA deposits to make up the difference to reach 75% of overall costs, should that be necessary.

Make sure you get the SBA Form 3508 re forgiveness requirements

And also the following, which may provide a more concise description of the terms:

https://www.forbes.com/sites/jasonb...few-new-rules-what-you-need-to-know-now/

For most small businesses, the PPP is a Band-Aid on a gaping chest wound, for which they will charge you an unknown amount (but sure to be excessive unless you worship at the alter of the Administration). I believe that it was enacted with the best of intentions............ but the Devil is in the details, and I am very afraid of it.

We cut our staff in half (that way they can get unemployment support, which is likely to last longer than PPP anyway) and are limping along with a few office visits and some telemedicine visits.

Most of our demographic can't use telemedicine, and many of them can't hear well enough to use a telephone -- and almost all of them are afraid to come in for fear of contagion.

I will just be a Devil's Advocate. I think the PPP was and is a brilliant plan. I can't believe anyone in government thought of it. Our patients started rescheduling their wcc visits left and right. We would definitely not have been able to have enough cash flow during these eight weeks. Telemed has been great, but you lose the little things that made you money, and without wccs paying double what a 99213 pays and difficulty charging for 99214s without a patient in the room, it brings in much less. But, Telemed has been great, and I almost wish it was all Telemed now.

When we stopped seeing patients, our staff would have to have been laid off or cut back. They would have taken the unemployment and the supposed $600 bonus for five to six weeks, which is crazy. Most patients I have talked with who filed for unemployment haven't received it yet. Promised, yes. Approved, yes. A check in the mail, no.

The beauty of the PPP is it takes that same money that would have been given directly to the employee who is now unemployed and is not contributing at all to the economy or any production and gives it to the employer to pay that employee. We applied for the PPP the day it was eligible using our same bank and was approved in days. It saved my practice.

Maybe it sounds bad, but once you have the PPP, your staff cannot apply for unemployment. It covers damned near everything including vacation time, sick leave, rent, utilities, physician salary.

I have three staff. I had one stay in the office, just had to have one physical preference. I gave her a sizeable bonus to compensate her for that. Having to drive back and forth to work, more exposure to the virus, etc. Usually, they are begging for more hours, but being on salary she asked to work 9 to 3:30 instead of 8:15 am to 4:30 pm. The other two worked from home. with VoIP phones, an RDS network with very fast Internet, it was like they were in the next room. In fact, it was easier. We have a very good message system and O365 email so files can be sent directly via email or Adobe or the messenger. It's pretty cool to type in the message box. Please send this to MaineCare and drag the file to the inbox and it goes from my office to her home 30 miles away in less than a second. Everyone can fax from their computer at home. My biller is one of the two, and she comes in on Mondays to deal with checks and certain paperwork. The other works from home or down in Connecticut -- just takes the phone and her laptop and plugs them in. We have to ask her where she is.

You have to start paying the loan back six months after you receive it. Then you have up to two years to pay it back at 1% interest. But, most are forgiven. The six month lag time is to give you time to have it forgiven. Just use it for the correct things and keep records, and it is highly likely it will be forgiven.

I'm glad it's working for you Bert.
Seems like the program is over now, and its successor is "dead on arrival" to the Senate.

I think the senate is dead.