The Small Business Administration on Monday released a redacted data on Paycheck Protection Program that categorizes key recipients and the specific jobs that are covered by the $659 billion program. The data is very specific on the program, which has been federal government’s main relief effort for small businesses.
Although detailed, the new data is still not transparent enough. It does not recognize loan amounts; the data is categorized in sections spanning $150,000 to $350,000; $350,000 to $1 million; $1 million to $2 million; $2 million to $5 million; and $5 million to $10 million.
What to do when you are asked about your PPP loan—Key advice from Foresight’s Dan Isard
The SBA released information on all the 660,000 businesses around the country that have been approved to receive PPP loan proceeds of more than $150,000. What do you reply if someone asks you about your PPP loan?
As a funeral home, cemetery, or related business I would express the appreciation of the SBA and the Treasury Department to come up with this short-term solution to aid you in keeping people employed.
I would explain that your business was deemed an essential business and it was imperative to keep your people employed. This was a time in funeral service when you needed to have full staffing and many families that were dealing with your services were ill prepared to pay for a funeral. Furthermore, many families could not be surrounded physically by loving friends as they needed.
I do not recommend you get into the minutia of how many people you kept employed, how much you borrowed or how much of the PPP loans you expect to be forgiven. These are relatively private matters. The government may underwrite people’s mortgages, but you would never go to a neighbor and ask how much their mortgage is.
News like this is sensational to some respects. Larger companies got larger loans. Companies that employed more people got larger loans. No one business took funds away from other local businesses. As you can see the PPP loans are still being issued as there is still money available.
As we navigate through these times of uncertainty and live out our new normal, we here are at The Foresight Companies want to be your source for all topics related to your business operations.