Are You Prepared for a PPP Loan Audit?
Keeping records related to the PPP funding is two-pronged. First, the organization had to submit the application and supporting records for the PPP application. Second, records must be maintained to prove how those accepted funds were spent to sustain the business or the purpose of the funding.
The SBA has the right to ask for access to the business records, and an organization must ensure it maintains these supporting records, for a specific period of time. It is also important that organizations keep their business records in compliance with all Federal and State statutes. Business advisors are warning that any organization that received over $2 million in PPP funding, should anticipate being audited. Therefore, if you received any PPP funding, it is reasonable for you to anticipate an audit as well. Have a plan on how the organization will ensure it has the necessary records, should an audit or investigation arise. That plan should include the following seven points:
- Know the purpose of the loan and how the funds are spent.
- Consider engaging a Certified Records Manager.
- Capture the records.
- Use metadata to track the records.
- Anticipate an audit.
- Know the retention requirements.
- Have a destruction process.
To learn more, about these seven points and receive the PPP Records Retention Guide, see the full article at: https://www.crmig.com/ppp-loan-audits-are-you-prepared/
By Cheryl Banke, MLIS, CRM
CEO & Founder, CRMIG
Cheryl Banke serves as CEO & Founder of CRMIG, which is a records management and information governance consulting company located in the Chicagoland area. She is a Certified Records Manager, Paralegal, and Librarian with over 25 years of records management experience. As a consultant, Cheryl assists organizations with their increasingly complex and demanding regulatory and technological challenges. Cheryl has partnered with clients in the health care industries, union organizations, manufacturing firms, financial institutions, various services industries, and non-profits.
Phil Gafka – Insights & Blogs
Phil has been a mentor with us for a minute now and he’s always willing to help where there is need. Perhaps you joined us last summer when he hosted our first ever Lunch-and-Learn on leadership, a quality he demonstrated well then. Phil’s also a writer, and he frequently updates his website with blogs he’s…
Saul Ewing Employment Update
SBAC INSIGHTS PAGE January 2024Authored by: David G. Shapiro and Marielle C. MacMinnSBAC Partner, Saul Ewing, provides an update on dubious Employee Retention Credit (ERC) claims – “many of which were made at the urging of aggressive promoters. The IRS is offering a limited-time Voluntary Disclosure Program (VDP) to encourage taxpayers to come forward, allowing…
Chicago Paid Time Off Ordinance Final Rules
SBAC INSIGHTS PAGE Helpful Resources: Chicago Labor Laws Educational Resources: You can find law-specific fact sheets for all Chicago Labor Laws, as well as additional resources focused on Chicago’s Paid Leave and Paid Sick Leave Ordinance. Overview of Chicago’s Paid Leave and Paid Sick and Safe Leave Ordinance Webinar – May 22, 2024 Descripción General…
