• Menu
  • Skip to right header navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

PlanningShop

Plan. Start. Grow.

  • Our Products
  • Instructors
  • Entrepreneurs
  • BizGear
  • Rhonda’s Blog
  • Book Rhonda
  • About PlanningShop
  • Search
  • Our Products
  • Instructors
  • Entrepreneurs
  • BizGear
  • Rhonda’s Blog
  • Book Rhonda
  • About PlanningShop
  • Search

Small Biz Update: PPP Loan Changes Coming?

May 27, 2020 //  by Rhonda Abrams

FACEBOOK LIVE EVENT NEXT WEEK

Please join me for my Facebook Live event:

Tuesday, June 2nd, 1pm EDT/10am PDT

Update on PPP, financing, and strategies to help your business survive. Go here to join or to watch later.

And if someone forwarded you this newsletter, you should sign up here.

MARK YOUR CALENDARS

June 9th I’ll be the guest on a Verizon webinar on Money: how to find it, manage it, make the most of it in the new reality. More info to come.

It’s time for another small business update on the PPP and how these latest developments will affect your small business.

PPP UPDATES

Is Your Eight Weeks Up?

Believe it or not, this Friday marks eight weeks since the first PPP loan applications went live. And, as you probably are aware, eight weeks is the magic number to have the PPP loan “forgiven.”

Super quick reminder about forgiveness in the original guidelines:

  • You had 8 weeks from the day you received the funds
  • You had to spend at least 75% on payroll costs
  • You had to bring your employee level up to pre-pandemic levels
  • You could use up to 25% on rent and utilities

Then, the Treasury made a couple of adjustments:

  • You could instead start counting the 8 weeks at your first payroll period after you received the funds rather than the day you received the funds
  • If you offered a job back to an employee and they refused, they wouldn’t have to count on your employee levels
  • You still had to spend the 75% on payroll costs
Potential PPP Legislative Fixes

While Treasury Secretary Mnuchin appears to have had the power to expand the eight-week forgiveness requirement, he has refused to do so without Congressional authority. Fortunately, there is bipartisan support for making some adjustments to the forgiveness provisions.

House Bill: Provide up to 24 weeks to spend the PPP funds and eliminate the 75% payroll requirement

Senate Bill: Provide up to 16 weeks to spend the PPP funds and allow businesses to use some of the funds for safety adaptions and PPE for employees

Legislation may be passed as early as this week—keep your fingers crossed! If it passes, you may have longer to reach the PPP goals for forgiveness.

What to spend money on now

In this Covid-19 environment, managing money is even more critical now for your small business survival. So how should you spend your money now?

  • Staying in front of your current customers. You should regularly be sending out email newsletters, posting and boosting on social media, making calls. Offer discounts, weekly specials, sell gift cards, provide delivery. Do what it takes to get them to open their wallets.
  • Marketing to prospects. Inevitably, you’re going to lose customers in this environment, so you need new ones too. History has shown that companies who increase their marketing in economic downturns actually increase market share.
  • Safety and cleanliness. If you have a place of business, whether a retail store, a restaurant, a factory, an office: cleanliness is job one. Spend money on having employees continually disinfect and provide hand sanitizer and face masks. Require masks on customers for in-person interactions.
  • Pivoting. You are almost certainly going to have to make some changes in your business to meet the new realities. Social distancing and some isolation will last for many months, if not years. Spend money necessary to change your business practices to meet the needs of this new world.

I will discuss all this further during my Facebook Live session—Tuesday, June 2nd at 1pm EDT/10am PDT. Go here to join or to watch later. Learn more in future newsletter updates as well. Sign up here if you are not already on my mailing list.

Stay well. Stay home. Stay in business.

Copyright Rhonda Abrams, 2020

Share this:

  • Twitter
  • Facebook
  • LinkedIn
  • Email

Category: Rhonda's BlogTag: cash flow, coronavirus, COVID-19, entrepreneurship, rhonda abrams, small business, small business tips

Previous Post: «Money Money, Money, Money in your Small Business
Next Post: Small Biz Update: PPP Forgiveness Strategies & America at a Crossroads »

Primary Sidebar

Subscribe to Rhonda's Blog via Email

Instagram @rhondaabrams

Sign up for my newsletter - get small business tip Sign up for my newsletter - get small business tips and the latest info. sent straight to your inbox! Link in profile~
.
.
#smallbusiness #newsletter #smallbizguru
What’s old is new again! How to stay in front of What’s old is new again! How to stay in front of your smallbiz customers, in my latest @usatoday column. Link in profile~
.
.
#smallbusiness #customer #digitalmarketing #smallbizguru
National Doughnut Day on Friday?? Great way to sta National Doughnut Day on Friday?? Great way to start the weekend!! Enjoy, and go find yourself some doughnuts 😋 🍩 
.
.
#smallbusiness #fridayfeeling #nationaldoughnutday
#smallbusiness #tuesdaythoughts #entrepreneur #ins #smallbusiness #tuesdaythoughts #entrepreneur #inspirationalquotes
“And I’m proud to be an American, where at lea “And I’m proud to be an American, where at least I know I’m free. And I won’t forget the men who died, who gave that right to me.” - Lee Greenwood -
.
.
#memorialday #neverforget
We're heading into a long weekend! Here's to some We're heading into a long weekend! Here's to some R&R, productivity . . . whatever your small business needs~
.
.
#smallbusiness #weekend #entrepreneur #fridayfeeling
Sign up for my newsletter - get small business tip Sign up for my newsletter - get small business tips and the latest info. sent straight to your inbox! Link in profile~
.
.
#smallbusiness #tips #entrepreneur #newsletter #smallbizguru
#smallbusiness #tuesdaythoughts #inspirationalquot #smallbusiness #tuesdaythoughts #inspirationalquotes
Here's to a great week, small business owners! . . Here's to a great week, small business owners!
.
.
#smallbusiness #smallbusinessowner #mondaymotivation
My Tweets
  • Sign up for my newsletter - get small business tip Sign up for my newsletter - get small business tips and the latest info. sent straight to your inbox! Link in profile~
.
.
#smallbusiness #newsletter #smallbizguru
    What’s old is new again! How to stay in front of What’s old is new again! How to stay in front of your smallbiz customers, in my latest @usatoday column. Link in profile~
.
.
#smallbusiness #customer #digitalmarketing #smallbizguru
    National Doughnut Day on Friday?? Great way to sta National Doughnut Day on Friday?? Great way to start the weekend!! Enjoy, and go find yourself some doughnuts 😋 🍩 
.
.
#smallbusiness #fridayfeeling #nationaldoughnutday
    #smallbusiness #tuesdaythoughts #entrepreneur #ins #smallbusiness #tuesdaythoughts #entrepreneur #inspirationalquotes
    “And I’m proud to be an American, where at lea “And I’m proud to be an American, where at least I know I’m free. And I won’t forget the men who died, who gave that right to me.” - Lee Greenwood -
.
.
#memorialday #neverforget
    We're heading into a long weekend! Here's to some We're heading into a long weekend! Here's to some R&R, productivity . . . whatever your small business needs~
.
.
#smallbusiness #weekend #entrepreneur #fridayfeeling
    Sign up for my newsletter - get small business tip Sign up for my newsletter - get small business tips and the latest info. sent straight to your inbox! Link in profile~
.
.
#smallbusiness #tips #entrepreneur #newsletter #smallbizguru
  • Footer

    Our Products
    Instructor Central

    Privacy Policy
    Contact Us

    • Email
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter

    Copyright © 2023 PlanningShop · All Rights Reserved · Site design by paulinaart

    This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. ACCEPT Read More
    Privacy & Cookies Policy

    Privacy Overview

    This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
    Necessary
    Always Enabled
    Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
    Non-necessary
    Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
    SAVE & ACCEPT