Check out my full interview with financial guru, Tina Garza. She explains new, important updates to the Paycheck Protection Program (PPP) for gyms. Whether you were able to take advantage of a PPP loan or not, you want to watch or listen to this.
Many fitness studios are surviving but there’s only so much more they can take. It’s my hope that this helps every fitness business owner, general manager, and trainer out there!
New Rules and Updates For The Paycheck Protection Program (PPP)
Tina Garza is the founder of AccountingProse and her team works directly with gyms and fitness studios. So, if you want her help, CLICK HERE to get a free strategy call now.
One of the big things about this new paycheck protection program (ppp) that’ll impact small business owners is owner-employee caps.
So, if you didn’t pay yourself or you paid yourself very little in the previous year, that’s used to calculate your benefit here. Which means, you could see a much smaller payout.
Or, if you did well and paid yourself accordingly, your payout here is capped at $15,385.
The other issue that arises is forgiveness…
Will This New PPP Be Forgiven?
Not likely, no. This is a really big hit for small business owners right now. If you’re using ppp to pay yourself, it’ll essentially become a loan.
What hasn’t changed are the dispersement rules. So…
You can only spend 25% or less on non-payroll costs, and 75% or more on payroll costs. On top of that, you have to spend it before your 56-day window ends.
The sad part about all of this is, it’s just meant to help you get through difficult times. But, there’s a very real possibility that all of us (small business owners) end up reopening our doors with nothing.
Watch or listen to this entire episode. Tina goes into incredible, very helpful detail on how this new paycheck protection program (ppp) works. And, how you should handle it.