On April 30, 2020 the SBA issued an interim final rule capping the total amount of PPP loans to a “single corporate group”. The Interim Final Rule defines a “single corporate group” as businesses that are majority owned, directly or indirectly by a common parent that shall not receive more than $20 million, in the aggregate, of PPP loans. For example, if a fund (the “parent”) was the majority owner of several entities impacted by COVID-19 than the total PPP loans to the single corporate group (the fund in the example) cannot exceed $20 million. The Interim Final Rule is effective for loans that have not been disbursed as of April 30, 2020 adding that businesses are subject to the limitation even if the business was eligible for the waiver of affiliation provisions or otherwise not considered to be affiliates.
For PPP FAQ’s refer to: Paycheck-Protection-Program-Frequently-Asked-Questions 4-29-2020