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Lenders have a lot to sort through with Paycheck Protection Program loan forgiveness. While legislative changes have made it easier to achieve full forgiveness, those changes have not simplified the complexity of the calculations required by the forgiveness application.
Borrowers will be looking to their lenders for help answering questions about forgiveness process including, FTE assessments and reporting, salary reductions, expense tracking and more. Our modeling tool can help you answer those questions and work through loan forgiveness process with a clear, consistent approach.
Benefits of the Loan Forgiveness Modeling Tool
Consistency in Lender Documentation - Having one template provides consistency in the review process required of lenders. Our model will help expedite the approval process by ensuring all application requirements are addressed and the calculation is accurate.
Visibility of Expense Thresholds – Borrowers can use the model to understand when the 60/40 payroll/non-payroll expense thresholds are attained and determine if certain strategies are needed to ensure those thresholds are reached. Businesses who experienced prolonged shutdowns will find value in in having up-to-date information as they navigate the forgiveness process.
Confidence in SBA Reviews – The SBA can “review” a loan during and after the forgiveness process is complete. Our model provides the borrower and the lender with a documented calculation that will give assurance during the review process.
Faster Forgiveness – By providing the borrower with a tool to track the forgiveness process and know when full forgiveness is attained, the lender can help borrowers apply for forgiveness sooner in the process. Our forgiveness model can also be used to help lenders document assumptions and submit for early forgiveness from the SBA.
Eide Bailly has a team dedicated to all aspects of PPP loan forgiveness, from the borrower to the lender. You can expect the full support of a trusted CPA firm that has gone through the legislation in great detail and will continually stay up to date on the legislative and program changes.