PPP Loans – What Does Forgivable Really Mean for Your Bottom Line?

Photo by Andrea Piacquadio from Pexels

PPP loans have been a godsend for many business owners. Like most emergency measures, they seem simple on the surface, but unraveling their impact on a business that accepted them—and on the economy, will take some time. Make sure you start conversations early with your accountant and tax advisors as many of the unanswered questions may impact your bottom line this year and your tax burden in 2020 and 2021 at minimum. The same questions that impact running a business will also have an impact on negotiations to sell or buy a business over the next 6 to 12 months—or longer. Being aware and prepared is your best defense.