HONOLULU – Less than a week into the second round of PPP funding, Hawaii businesses have received 7,717 loans totaling more than $413.8 million. As more businesses receive their much needed funds, one of the most asked questions top HR management company ProService Hawaii has received through its free Covid community hotline for employers is “How should I utilize my PPP funding?” This was the impetus for a newly released Employer’s Guide: Strategic Use of PPP Funds created by ProService to help Hawaii businesses strategize the best use for their PPP loans.
“There are hard realities that employers are facing and one of them is being “on the clock” for the eight week measurement period for loan forgiveness while our economy is still mostly shuttered. This is frustrating,” says Ben Godsey, president and CEO of ProService Hawaii. “Strategy is key and that is the single most important message we are communicating in this guide.”
Until now, much of the discussion around PPP has been focused on total loan forgiveness. However, it’s not the only option that ProService wants employers to explore. The guide weighs out each option but ultimately advocates for using PPP funds as the business’ life support in the short-term, with some funds reserved as the boost to rebound when the economy reopens.
The guide includes useful resources such as how to calculate loan forgiveness and various scenarios focusing on balancing business longevity with loan forgiveness.
Employers can access the Employer’s Guide: Strategic Use of PPP Funds here.