The Paycheck Protection Program

What you need to know about this new part of the law, and what we need from you

What is the Paycheck Protection Program? 

The Paycheck Protection Program is part of the law enacted on March 27. You can get more details on the program from SBA's website. We anticipate that there will be tremendous demand for this support.

If there is any chance at all that you will need to use this program, we recommend that you start gathering information needed now to complete the application. Here's what you'll need: 

1. Number of employees as of 2/15/2020
2. Payments on mortgage obligations, lease obligations, and utilities 
   1. Lease agreements (for your space) 
   2. Loan documents for the mortgage of your building if owned Mortgage Loan Statements reflect the amount of principal and interest paid 
3. Certification from a representative of the business or organization who is authorized to certify that the document provided is true and correct, and that the amount being forgiven was used in accordance with the program's guidelines for use. 
4. Payroll information from 2019 and projected payroll for May 2020 and June 2020 (more guidance to come on acceptable formats) 
5. Utility bills for 2019 to present (electric, gas, water, transportation, telephone, internet) 
6. Interim YTD 2020 financial statements (including balance sheet and income statement) 
7. Full year 2019 balance sheet and income statement (tax return acceptable if already filed) 
8. Last 3 years of business tax returns (2018, 2017, 2016) 
9. Proof of liability insurance 
10. Up-to-date Organizational Documents 
    1. Bylaws (for a Corporation) or Operating Agreement (for an LLC) 
    2. Articles of Incorporation (for a Corporation) or Articles of Organization (for an LLC) 

We expect more guidance from the SBA within 15 days. Note that the Paycheck Protection Program loans will be made by local lenders.

If you have any questions, you can reply to this email, or reach out to one of the members of your Chortek team.