SBA

Jacob Gottlieb, whose $8 billion fund shuttered amid an insider trading scandal two years ago, received a $150,000 to $350,000 loan for his new shop.

Some advisors have questioned the ethics of taking the loans, intended to help small businesses keep their employees on payroll.

The Small Business Administration and the Treasury Department unveiled a simpler loan forgiveness application for the Paycheck Protection Program to reflect changes under the PPP Forgiveness Act.

Evidence suggests some minority-owned businesses can’t access loans, and the Trump administration is under pressure to report borrower demographics. The issue is gaining attention against the backdrop of protests over the George Floyd killing.

The SBA’s form clarifies some issues, but still leaves questions to be answered.

The latest version supplements the previously posted rules in order to help borrowers submit their loan forgiveness applications as provided under the CARES Act.

The new Paycheck Protection Program rules, which created a review process and timeline for paying lenders, did not extend the time borrowers have to comply or increase how much money can be spent nonpayroll expenses.

The U.S. Small Business Administration, in conjunction with the Treasury Department, released a loan forgiveness application for the SBA’s troubled Paycheck Protection Program, along with detailed instructions for the application.

Little-known provisions include the economic injury disaster loan program, the employee retention credit and even an option to defer some payroll taxes.

About 5,500 large customers of the commercial banking business applied for funding. Nearly all of them got loans.

The Small Business Administration stopped approving loans when the Paycheck Protection Program hit its cap.

The $349 billion stimulus package from the Small Business Administration provides loans to cover payroll, rent and utilities for up to eight weeks.

Just days after the Fed lifted Wells Fargo's asset cap so it could make more Paycheck Protection Program loans, it warned customers its queue is long and they may want to go elsewhere before program funds are exhausted.

The program comes as welcome relief for many advisors and their business-owning clients — but the program has struggled since going live on Friday.

No online lenders are approved for the agency's traditional programs, but they could make loans under the COVID-19 stimulus package if they get special approval.