Question

Asked a question 3 months ago

Can I use EIDL funds to pay payroll while I'm waiting on the PPP?

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Answered 3 months ago

Yes, PPP would either refinance the EIDL.. or you may be given a smaller PPP loan based on funds used for the similar purpose

If I’ve received both PPP and EIDL, can I use funds from EIDL for payroll AFTER I’ve depleted funds from PPP over the 8 week period.

If I was in business in 2019 but only started payroll in 2020, can I use the 2020 payroll to calculate the average monthly payroll for EIDL and PPP application?

For PPP: As a single member LLC (with no employees) taxed as Sole Prop. Can I pay myself with an owner's draw (NOT as a ... as a forgivable "payroll" expense?

Ami - You answered that you cannot use PPP to pay down an existing line of credit. How about using EIDL funds to pay down an existing line of credit?

Are there use limitations/requirements for EIDL loan funds?

Can either the PPP or EIDL funds also be used for hiring new employees & vendors, or are funds limited to helping existing employees & vendors only?