The SBA recently issued a Procedural Notice to PPP Lenders setting forth new requirements for a change of ownership of an entity that has an outstanding PPP loan. All such PPP borrowers will be required to either escrow funds equal to the outstanding balance of the PPP loan or obtain the SBA’s prior approval for the change of ownership transaction. The specific requirements vary depending on the nature of the transaction. If you are a PPP borrower contemplating a change of ownership, click here to read this important update.