Untangling the Mess

The Economic Injury Disaster Loan Program (EIDL) and the Payroll Protection Program (PPP) can be confusing. We’ll try to untangle the confusion for you.

I Received My PPP Funds….Now What?

May 6, 2020 Update

There are still funds available for the Payroll Protection Program. If you are still working on your application, don’t delay. Remember, funds are available on a first come first served basis.  If you applied during the first round of funding but have not heard back from your banker yet, call them. Not all banks assumed you wanted to continue your application after the monies from round one ran out. 

The funds from round 2 seem to be going to smaller businesses so that is a plus. 

During this program, we unpack these two programs and show you how they can benefit your company as well as what you need to know as you apply for them. 


Here are links to several of the items I referred to in the video above.


Here are the attachments I referred to. click on each item to download them.


What information will you need to apply for the Payroll Protection Program?

Your local bank is responsible to confirm the information that you are putting on your SBA loan application. As a result, different banks will require different information. Here is a list of the most commonly requested items. Remember, your bank may require more or less information.

  •  – Payroll protection application form – completed and signed
  •  – Loan calculator – fully completed
  •  – Copy of the 941’s
  •  – 2019 financial statements & tax returns (if not completed or not applicable please disregard)
  •  – Interim financial statement
  •  – Updated personal financial statement of owner(s) within the last 3 months
  •  – Number of employees on your payroll for the last 12 months as well as pay rates
  •  – Payroll and unemployment insurance filings 2019
  •  – Employer paid health insurance premiums and employer retirement contributions for the last 12 months
  •  – Payments on covered mortgage obligations, lease obligations, and utilities

If we can help you in any other way, feel free to reach out to me.

Leading Through Crisis

Great leaders are not afraid of great crises.  Crises create opportunities to think outside the box to come out of the situation stronger and more profitable.  This presentation is a conversation between Bill Kinnard, President of Grandy & Associates and Jay Owen, president of Design Extensions.  You will find the conversation both encouraging and enlightening.

Micromanage Your Cashflow

Managing your cash through this pandemic is critical to the success of your business. We have created a simple tool that you can use to project your cashflow for the months ahead. This simple tool is not intended to replace anything you are doing with your accounting. It is a way to micromanage cashflow over the coming weeks and months.

Click on the graphic below to download the Cashflow Projector Tool.

Need to see how it works? Watch this. 

I Received My PPP Funds…..Now What?

By now some of you have already received your PPP loan proceeds and some of you will receive them shortly.  Your “8-week time clock” starts the day your loan proceeds are received.  It is very important to comply with the CARES ACT provisions that cover proper use and timing of funds to obtain loan forgiveness.


Find a number of tools that will help you in navigating the loan forgiveness process. 

Download the Loan Forgiveness Application here.

I’ve Got My Funds…Now What

I unpacked some of the details around the PPP Loan Forgiveness Application. Watch it again here. 

This will take some time and attention to make sure it all goes smoothly.

Here is a tracking spreadsheet that will assist you with forecasting, tracking and summarizing your expenses paid from the PPP Loan funds. Make sure to utilize the Forecast tab and enter your expected qualified expenses over the 8-week period following the loan disbursement. This will help you plan and time expenses that need to be paid.  

Also included is the Support Needed tab, which lists items your bank may potentially request for loan forgiveness. Additional guidance will be coming from the SBA so stay tuned.

Loan Forgiveness Calculator

This spreadsheet was provided by an SBA approved lender. They have given permission to share. 

This tool will help you in the forgiveness application process. You may want to check with your lending institution as to whether they will accept it. It makes it much easier to calculate Full Time Equivalency (FTE) for your team as well as possible penalties for wage reduction. 

Here are the key points:

In order to be eligible for forgiveness, PPP funds can only be used for the following items.

Payroll Expenses

Payroll, including eligible benefits. These are group medical, dental, retirement, paid sick or family leave, state UC. 

Individual compensation limited to $100,000 annual rate which is $15,385 for the 8-week period; eligible benefits for those individuals can be included in addition to that number.


Rent or leases in effect as of Feb 15th, 2020

Interest on Loans

Interest on loans that were in place as of February 15th, 2020. This is limited to mortgage loans and personal property loans that contain liens on your property. For example, your building or warehouse, or your trucks that are being held as collateral on the truck loan.


Utilities include electricity, water, gas, transportation,  telephone and internet.

The key questions tend to come in around transportation and telephones. Our understanding is telephones includes both cell and land lines. 

A clarification of this is found in the Federal Register Vol. 85, No 76, Page 21479. I have highlighted that section here. 

Parameters for forgiveness:

First, it’s important to remember that forgiveness of this loan is not automatic. You must request it from your bank. 

Loan Use

75% of loan funds MUST be used for Payroll and Benefits

Employee Count

If you don’t maintain the level of Full-time Equivalent (FTE) employees, as compared to a testing period, your forgiveness amount will be reduced UNLESS your employees were laid off between February 15th and April 26th AND you restored your full FTEs by June 30th, 2020 (the RE-HIRE EXEMPTION). 

Much  guidance in this area still needs to be addressed by the SBA. Please stay tuned.

Pay Rates

Pay rates cannot be reduced by more than 25% for any employee making less than $100,000.

Funds That Don’t Qualify For Forgiveness

Any funds not forgiven become a 2-year loan with an interest rate of 1%. Payments are deferred for the first six months although interest will accrue. Therefore, the total loan is actually paid over an 18-month period. Be sure to consider the terms and payment amounts required on any loan balance not forgiven.


The Covid-19 pandemic has changed our world in ways we never could have imagined.  As we navigate through the pandemic, we need to also be thinking about the future.  We may never go back to “normal” but instead, create a “new normal”.  In this 45 minute video, Patrick Chapman talks about how the landscape of business has changed and gives suggestions on how to move forward.

Planning for Profit Workshop

June 9-10, 2020


There has never been a more important time to know what it costs you to run your business that right now. To that end,  we are conducting a modified version of our Planning for Profit workshop as a live instructor lead online workshop at half price. 

You’ll learn exactly what you have to charge per hour to cover costs while generating the profits you want. You’ll create departmental cash flow budgets, set proper maintenance agreement pricing, and learn to  bid jobs for profit based on your cost of doing business.