Many of our clients have already obtained forgiveness of their first PPP Loans. The lender who provided your PPP Loan should have already provided you with the application to have the loan forgiven.
While borrowers may apply for loan forgiveness at any time before the loan matures, the deferment of loan payments ends and loan repayments will be due if the loan is not forgiven within ten (10) months of the loan forgiveness covered period.
For example if the last day of the covered period for your first draw PPP loan was October 4, 2020, then the application for forgiveness should be filed so that it can be acted upon before August 4, 2021. While some applications for forgiveness have gone quickly, some have taken over two months to be fully processed by some lenders. Generally, most businesses that received PPP loans should file applications for forgiveness before the end of April, 2021.
We strongly recommend consulting with your business’ accountants and/or lawyers about your PPP loan forgiveness application.