According to current SBA guidance, you may apply for forgiveness in advance of the end of your Covered Period in some situations:
Businesses without employees (other than the owners) may apply for loan forgiveness once you have used all the funds and have obtained the necessary documentation, even if your Covered Period is not over. This applies to all business structures where there were no employees at the time of PPP loan application, and you did not include any employee salaries in the computation of average monthly payroll in your PPP loan application.
Business owners with employees can apply once you have used all the PPP loan proceeds and have obtained the necessary documentation for your application.
- You should consider the timing of your forgiveness application relative to other safe harbor dates and related certifications.
- If you’ve determined that you have reduced employee salary or wages by more than 25%, and want to apply before the end of your Covered Period, you must project that reduction across the full duration of your Covered Period.
Please note that consistent with the latest Procedural Notice from the SBA, subject to certain limited exceptions, you may only submit one loan forgiveness application.
Once we render a decision on a borrower’s application and communicate it to the SBA, you cannot submit a second application.