PPP FAQs

Do you anticipate the PPP program will be re-opened?

Yes. Leadership in both political parties in Congress and the President have all indicated their strong desires that the program receive an additional round of funding. Most recent reports indicate at least another $250 billion will be provided, though that number could be significantly  higher. 

What is Georgetown Capital Advisors?

We are a limited liability corporation that helps companies and individuals access public, private and government funds, as well as support corporate mergers and acquisition transactions

Will you help me complete and submit my PPP loan application?

Few small businesses have indicated problems completing the application. However, some have encountered problems assembling and transmitting the supporting documentation required by lenders. For privacy reasons,  Georgetown Capital Advisors cannot assist with assembly, completion and transmittal of your application. 

After we have paired your company with a lender, you will work with their underwriting team to ensure your application and documentation are completed.

Georgetown Capital Advisors strongly encourages our clients to:

Complete all fields of your application carefully

Assemble all supporting documents that will be requested

Ensure scanned files of supporting documents are in the format requested by the bank all text/information is legible. 

What documents will I need to support my payroll cost calculations?

Note: each bank may require different supporting documents. Here is a list of the most commonly requested:

IRS Forms 941 for 3/31/19, 6/30/19, 9/30/19 and 12/31/19 OR

IRS Form 940 for the year ended 12/31/19 OR

Payroll Reports:

Summary report for the 12 months ending 2019 (gross wages prior to Section 125 or Deductions)

Report detailing each employee and their gross pay for the 12 months ending 2019 (totals should agree with summary report)

Report detailing vacation, severance pay, group health benefits, retirement benefits, etc… AND

IRS Forms W-2, W-3 for 2019 (REQUIRED)

Independent contractors will need the following:

Independent contractors and self-employed individuals can use:

Schedule C Form 1040

Form 1099

Does Georgetown Capital Advisors guarantee my small business will receive a loan?

No. No lender or agent can guarantee your loan application will be successful.  

Do I need to pledge any collateral for these loans? 

No. No collateral is required. 

What if I change my mind about using you? 

At any point in the process you can contact us via email and terminate our agreement to support your application. 

Is there a loan amount that is best to improve chances of success? 

The best loan amount is the one that accurately reflects the calculation of your average monthly payroll multiplied by 2.5, as prescribed in the SBA guidance documents and the application. Seeking loans in excess of that amount could result in your application being rejected. Similarly, failure to include qualifying documentation that does not support that calculation could also result in your application being rejected. 

Also be aware that there are additional rules on how to calculate your average payroll, including a per-employee cap of $100,000 for annualized salary, wages commissions or tips. 

Are there set-asides for minority and/or women-owned businesses?

At this time there are not. However, that may change as the program is extended by Congress. If you are planning on applying and are a minority of woman-owned small business, we recommend you prepare documents to support that your ability to qualify under that category.

How long will it take for me to know if I will receive a loan?

Response times are varying greatly from bank to bank. Some early applicants have already heard and received funding, others have not. 

How do I know if my loan can be forgiven? And what is the process?

[The following is from government guidance documents] 

The loan amounts will be forgiven as long as: 

The loan proceeds are used to cover payroll costs, and most mortgage interest, rent, and utility costs over the 8 week period after the loan is made; and 

Employee and compensation levels are maintained. 

How much of my loan will be forgiven? 

You will owe money when your loan is due if you use the loan amount for anything other than payroll costs, mortgage interest, rent, and utilities payments over the 8 weeks after getting the loan. Due to likely high subscription, it is anticipated that not more than 25% of the forgiven amount may be for non-payroll costs. You will also owe money if you do not maintain your staff and payroll. 

Number of Staff: Your loan forgiveness will be reduced if you decrease your full-time employee headcount. 

Level of Payroll: Your loan forgiveness will also be reduced if you decrease salaries and wages by more than 25% for any employee that made less than $100,000 annualized in 2019. 

Re-Hiring: You have until June 30, 2020 to restore your full-time employment and salary levels for any changes made between February 15, 2020 and April 26, 2020. 

What is the process to request a loan be forgiven?

You can submit a request to the lender that is servicing the loan. The request will include documents that verify the number of full-time equivalent employees and pay rates, as well as the payments on eligible mortgage, lease, and utility obligations. You must certify that the documents are true and that you used the forgiveness amount to keep employees and make eligible mortgage interest, rent, and utility payments. The lender must make a decision on the forgiveness within 60 days.