Free Money? Are The Payroll Loans Too Good to Be True?
Centre Law & Consulting – By now, you’ve heard about the CARES Act and the $350 billion put aside for small businesses. Bank of America alone received 10,000 applications in just the first hour it opened its online portal. If you haven’t, the short story is that private lenders are being tasked to provide loans to small businesses that cover 100% of eight weeks’ payroll, nicknamed the “PPP loans.” The best part, these loans will be paid back by the government, not you, as long as you keep your employees and keep their wages (relatively) the same. While everyone scrambles to get an application in, it’s worth taking a step back and looking at if this is too good to be true.
