KBE - How Entrepreneurs And Bankers Will Profit From Forgivable CARES Act Loans

On March 27, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act, or “CARES Act,” into law. A cornerstone of this landmark legislation is the “Keeping American Workers Paid and Employed Act,” which authorizes $349 billion of federally-guaranteed Paycheck Protection Program loans to small businesses. The determination of whether an entity is a "small business" will normally be made by reference to existing SBA Small Business Size Standards. For companies that don't fall within an existing classification, the maximum number of employees will be 500.

The extraordinary characteristics of PPP loans include: