Preserving Deferred Tax Assets in a Capital Raise
Most Paycheck Protection Program (“PPP”) borrowers are working toward full forgiveness of their PPP loans and are anxious to get this process started. A borrower generally may submit a loan forgiveness application any time on...more
The U.S. Small Business Administration (the “SBA”) recently provided important and long anticipated guidance on requirements and exceptions for SBA consent in certain “change of ownership” transactions involving companies...more
On Friday, October 2, 2020, the Small Business Administration (“SBA”) issued a Procedural Notice setting out the required procedures for companies pursuing certain equity or asset purchases or sales, or other transfers, who...more
Changes in Ownership - As a result of Congress creating the Paycheck Protection Program (PPP) as part of the Small Business Administration's 7(a) loan program, Congress encumbered PPP loans with many of the rules, regulations...more
On October 2, 2020, the Small Business Administration published new guidance outlining the procedures that PPP borrowers and lenders must follow in the event that a PPP borrower undergoes a “change of ownership.” For parties...more
On October 2, 2020, the Small Business Administration (“SBA”) released a Procedural Notice providing guidance to lenders about transactions involving recipients of Paycheck Protection Program (“PPP”) loans. Before the...more
On October 2, 2020, the Small Business Administration (“SBA”) issued long-awaited clarity on the procedures Paycheck Protection Program (“PPP”) borrowers, and their potential acquirors, must follow in a “change of ownership”...more
On October 2, 2020, the SBA issued guidance under a procedural notice (the “Notice”) providing information concerning the required procedures for changes of ownership of an entity that has received a Payroll Protection...more
SBA Procedural Notice Regarding PPP Loans and Changes of Ownership - On Friday, October 2, the SBA issued a procedural notice regarding PPP Loans and Changes of Ownership. The Notice provides some level of clarity for SBA...more
The U.S. Small Business Administration (SBA) released a procedural notice (the Notice) on October 2, 2020, that describes the process and requirements that Paycheck Protection Program (PPP) borrowers and lenders must follow...more
On October 2, 2020, the Small Business Administration (SBA) published guidance on when SBA consent must be obtained before a PPP borrower undergoes a change of ownership. It not only covers changes in controlling ownership...more
The Small Business Administration (SBA) recently issued a Procedural Notice (the Notice) containing details about the required procedure that Paycheck Protection Program borrowers (PPP borrowers) must follow when engaging in...more
For several weeks, parties to pending merger and sale transactions involving Paycheck Protection Program (PPP) loans have been asking what will happen to PPP loan forgiveness applications if a borrower sells its business...more
On October 2, the Small Business Administration (SBA) issued an important Procedural Notice clearing the way for dealmakers to begin closing M&A transactions involving targets with outstanding Paycheck Protection Program...more
In a significant development for the mergers and acquisitions (“M&A”) community, the U.S. Small Business Administration (“SBA”) issued a “Procedural Notice” which affects the requirement for companies involved in the buying...more
We have received questions from a number of clients about whether SBA’s consent is required for a change of control involving a Paycheck Protection Program borrower. On October 2, SBA provided additional guidance that...more
On October 2, the SBA issued SBA Procedural Notice 5000-20057, Paycheck Protection Program Loans and Changes of Ownership (“Notice”). A link to the Notice is set out below. The Notice sets forth SBA procedural...more
The Small Business Administration’s latest guidance tells PPP lenders under what conditions they may approve changes of ownership involving PPP borrowers. Standard PPP loan paperwork has required PPP borrowers to seek...more