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LOANS ONLY – Through their own professional associations, more than 50 financial partners of Florida law firms have taken out Paycheck Protection Program loans separately from loans taken out by their businesses, in a trend that likely reflects businesses. nationally, reports Dan Roe of Law.com. This, of course, begs the question, “Uh, why? In some cases, the loans were taken out by individual partners to cover monthly withdrawals or reduced salaries for their assistants who were employed by the partners’ professional associations rather than by the companies. According to legal consultant Peter Zeughauser, the fact that most of this activity occurred in mid-sized businesses and boutiques could have a lot to do with optics. “In most large companies, company management disapproves of [equity partners taking PPP loans] because it could have a bad image of the company, and there were a lot of companies that did not take advantage of the PPP that could have, but thought it would have a bad image of the company, ”said Zeughauser to Roe. “In a small business, I don’t think that would happen. I think people see themselves as being below the radar screen and I think there was a general opinion that the program was loosely regulated. They qualified for it, and so they could do it, and they didn’t have the same level of concern for the brand.
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