SBA Releases Confirmation of Funding Dates

Cain Watters & Associates has issued an update around the Paycheck Protection Program (PPP) loans consistent with the daily changes issued by the Small Business Administration (SBA) and the U.S. Treasury. It is our goal to share these with you to keep you informed, in an effort to dispel the fear and confusion that many small businesses are facing due to the ever-changing criteria of this program.

There is one new development since our previous update:

The SBA has increased the mandatory loan funding date, after SBA approval, from 5 days to 10 days. The start date for the 8-week period for spending the loan did not change. It begins on the same day of the first disbursement of the loan, as previously reported.

While this is not what we were hoping for, it does offer some assistance to dentists and small businesses that are on lockdown. It also means that each business is now faced with a decision. If you haven’t yet, please watch the webinar as CWA Partner Dan Wicker presents the options available to small businesses and outlines a decision tree to aid in defining your path.

There is no way for CWA or anyone to know how long the $350 billion funding will last. Although we do believe it will eventually run out, the U.S. Treasury Secretary has discussed providing additional funding, which we think will likely happen.

We also believe the longer you can delay the funding, the greater it will be to help rebuild your business and achieve forgiveness. We acknowledge that many want to secure funds for the business for working capital, even if you don’t receive forgiveness. This is a business decision for each of you based on your individual needs.


Unfortunately, this ruling eliminates the “apply and defer receipts” strategy, which was valuable not only for dental practices, but for thousands of small businesses across the U.S. The small business employer is caught in the middle of a political struggle over the administration’s desire to get people off unemployment by hiring them back and paying them, even if the business is closed.

Through CWA banking contacts, we are aware that there have been thousands of loans across the country with SBA approvals and E-Tran authorizations based on delayed funding. We understand the banks are pushing back on the SBA, however there is no guarantee that changes will be made.

The content of the webinar, outside of this new SBA guidance, is still sound. The decision tree section of the webinar weighing the option of filing now with the potential for only 30% of the PPP loan forgiven versus waiting and watching how the $349 billion SBA guarantee amount is decreasing, now affects all CWA clients. Additionally, President Trump and U.S. Treasury Secretary Mnuchin continually say they will ask Congress for more money. The latest comments quantify it as an additional $250 billion.


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