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.
Chamber Relief
The SBAC was thrilled that policymakers enacted a program to support Illinois chambers of commerce still struggling to recover from the pandemic. Here is the link to our initial blog about this program and the corresponding appropriation of funding allocated in the budget. Here is the latest information we have received from the Department of…
Byline Bank – Insights
Byline Bank’s Insights We all need more “Insight” into what makes a business successful and how to get there. We are proud to highlight our partner, Byline Bank, and their professional insight into achieving financial success. How Business Leaders Can Play to the Strengths of Their Team 5 Strategies for Growing Your Business How to…
Town Halls to Support Local and Small Businesses
We’re excited to announce a series of free community town halls focusing on policies that help revitalize neighborhood business districts and support small businesses. These town halls are designed to be informative, and interactive, and to bring communities together. Members and business owners are encouraged to further learn how the SBAC and a coalition of…