I qualified for the PPP loan and got the money but it’s a small amount. The issue I have is 75% gos to payroll and 25% to rent/ utilities. My booth rent take over 50% of the amount they gave me. So I can’t even show 75% to my own payroll to myself. So forgiveness will not apply? Does anyone else have this problem? Also, how do we even document what we spend? Checks? All I know is the PPP for an independent hairstylist just does not work and seems to contradict itself! 😔
did you get the PPP through your bank or is it from the SBA? I’m not really sure what your question is did you get the “loan” or is it one of your renters I’m still waiting on my application to be funded through PPP and I expect it to be a small amount compared to my expenses but its something I guess.
The money can be used for payroll, rent, or utilities to be forgiven. So you can use it for your rent. Just document everything. Write a check to yourself from your business account for your payroll so you have a paper trail. Part of the problem is there is no set guidelines as of yet for how the loans will be forgiven. My bank told me to just keep as many records as I can. I Hope that helps. I think it will work for you. Especially if you received one. Good luck.
I got the ppp loan but we can’t open we are mandatory close. My staffs does not want to come back. If I don’t use the PPP it will go back to government and then will have to close my salon please help with a resolution if we are Mandatory Close???
The guide lines for PPP are very clear on line. Min 75% use for payroll, must maintain same FTE (full time employees) count that you had at time of closing. Balance must be used for rent and utilities.
PPP forgiveness amount is prorated based on how close you come to the 75% rule. If your payroll is 50% that 50% is forgiven and you owe the rest. When its all over give back what ever you have not spent.
Although your salon is not open, You can still use the PPP to pay your people while salon is closed (that’s what PPP is for) and to get them off unemployment. So now you can also pay rent and utilities while closed. this is how the PPP is supposed to be used. To help KEEP YOU IN BUSINESS
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