Q: Do businesses owned by large companies with adequate sources of liquidity to support the business’s ongoing operations qualify for a PPP loan?
A: Their response centers around the PPP application which includes certification that “current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant”. It appears to be focused on larger companies that may have had adequate capital and liquidity to survive the pandemic, but it is subject to the SBA’s interpretation. Like the other certifications in the application, each applicant should carefully evaluate their response and answer accurately at the time they sign and submit the application.
Q: What information about my business will be publicly available if we participate in the Payroll Protection Program?
A: As disclosed on page 4 of the PPP application, SBA must supply information reflected in agency files and records to a person requesting it. The names of the borrowers (and their officers, directors, stockholders, or partners) and the amount of the loan, among other information regarding approved loans will be automatically released if requested. In addition to detailed information regarding the need or expected need as of the date of the application to be provided to the SBA, borrowers should also prepare a public relations response to inquiries from the general public.