Letterhead
Can a Partnership Increase its PPP Loan If It Didn't 
Originally Include Partner Compensation?

Yes! The SBA just announced that partnerships that did not include partner compensation in their original PPP loan calculation have the option to increase their PPP loan. The lender may electronically submit a request through the SBA's E-Tran Servicing site to increase the PPP loan amount to include appropriate partner compensation, even if the loan has been fully disbursed.

Note however that this is time sensitive! Lenders are required to file the SBA Form 1502 monthly, and once this form is filed or required to be filed, the partnership can no longer request an expansion of their loan. The same loan maximum of $10 million still applies, along with the annualized $100,000 salary for partners.

If your partnership received the PPP loan but did not include partner compensation in the calculation, reach out to your bank as soon as possible to discuss this option.

If you would like to discuss this further with us, please feel free to let us know.
 
2100 Gardiner Lane, Suite 207 | Louisville, KY 40205
502-459-8100 phone | 502-459-5773 fax