The Small Business Administration (SBA) has recently announced the process for appealing partial forgiveness decisions for Paycheck Protection Program (PPP) loans. This comes after several small businesses complained about the partial forgiveness decisions, which left them with unexpected debts to pay back.
The Appeal Process
Small businesses can appeal a partial forgiveness decision if they disagree with the decision made by their lender or the SBA. The appeal process involves submitting a request to the SBA with a detailed explanation of why the borrower believes the decision was incorrect. The borrower must provide supporting documentation and evidence to prove their case. The SBA will then review the appeal and make a final decision.
What Small Businesses Need to Know
Small businesses must keep in mind that the deadline for appealing a partial forgiveness decision is within 30 days of receiving the decision from the lender. Additionally, small businesses must provide all necessary documentation and evidence to support their case. The SBA has also stated that they will not accept appeals that are based on disagreements over the borrower’s eligibility for the PPP loan or the calculation of the loan forgiveness amount.
It is important for small businesses to understand the appeal process and to take advantage of it if they believe that their partial forgiveness decision was incorrect. Small businesses should consult with their lender or a professional advisor if they have any questions about the appeal process.
In conclusion, the SBA’s announcement of the appeal process for partial PPP loan forgiveness decisions is a welcome relief for small businesses that may have been left with unexpected debts. The appeal process provides an opportunity for borrowers to provide additional information and evidence to support their case, which may result in a reversal of the initial decision. Small businesses should take advantage of this opportunity if they believe that their partial forgiveness decision was incorrect.