If you use this loan for what it's intended, which is 75% is for payroll, it can also go to rent, other benefits, there's a few things, we can put up a full list of what you can use this for, if you use it for those things, it should be forgiven. Again, we don't know the full implications of what is forgiven. There's a lot of complexity with you guys as influencers because you're taking this money and you then have to prove that you're paying yourself somehow, so I don't know if you have to then pay taxes on the money that you pay yourself out of the loan, I assume that you will have to pay taxes on that. That is something to consider. I would definitely try and talk to an accountant or a banker about that.
If you use this money in eight weeks to pay 75% goes to payroll and the rest rent and some other things, yes, that should be forgiven and you should not have to pay that back, and you're also not taxed on the loan, so you don't get double taxed. While you might have to pay taxes on the portion that you pay yourself a salary, you're not getting taxed on the actual loan.
- Using the COVID-19 loans to your advantage