Paycheck Protection Program
The SBA portal is now fully open and accepting applications from all PPP lenders for first and second draw PPP loans. Click here to read the full press release from the SBA.
The SBA has also released additional guidance on how to calculate revenue reduction and maximum loan amounts, including what documentation is required to support each set of calculations. Please note, if the financial statements submitted are not audited, the Applicant must sign and date the first page of the financial statement and initial all other pages, attesting to their accuracy.
Please contact your lender if you would like to submit an application for a first or second draw PPP loan.
To streamline the application process, we are utilizing an online application portal to process the next round of PPP loans. We are still waiting on determination of timing on when the SBA will begin accepting applications. Based on current guidance we have received, you will need to provide the following information and documentation as part of the application process. All information and documentation will be uploaded to the online application via the online portal. There is no need to submit the information to the branch or your banker. We recommend that you begin collecting this information now so you have it available once the online portal opens.
The documents below have been provided by the SBA and give an overview of eligibility and forgiveness guidelines for PPP First and Second Draw loans.
PAYCHECK PROTECTION PROGRAM FIRST DRAW LOANS
PAYCHECK PROTECTION PROGRAM SECOND DRAW LOANS
On Monday, January 11th the SBA will allow certain community financial institutions to process requests for borrowers that have not already received a first Paycheck Protection Loan. Those same community financial institutions will be allowed to start processing Second Draw PPP requests beginning Wednesday, January 13th. The guidance states that, ”PPP will open to all participating lenders shortly thereafter”. Community financial institutions are defined for this purpose as banks with less than $1 billion in assets, Community Development Financial Institutions (CDFI), and Minority Depository Institutions. Premier Bank is not classified as a community financial institution and will not be able to process applications until a later, to be determined, date. At this time the SBA has not issued any guidance on how those requests will be processed, as it is understood the prior system will not be used.
Click here to read the entire announcement from the SBA on the PPP Reopening.
On Dec. 27 a stimulus legislation was passed by Congress and signed into law by the President. This bill contains many provisions targeted at helping small businesses; including additional funding for the Paycheck Protection Program. This funding will allow those who did not receive funding during the first round to apply, and also will grant the ability for those businesses most in need to re-apply for additional funds.
Late Wednesday, January 6, 2021, the SBA & Treasury issued the Interim Final Rules that will provide guidance as it relates to the PPP. Premier Bank is in the process of reviewing this guidance and we will provide more information as soon as possible.
Based on the preliminary information that has been made public, we have included some basic eligibility and documentation requirements below. These are subject to change when official guidance is received and additional details are expected. Schedule C and Schedule F borrowers will be eligible, but specifics relating to their requirements have not been provided.
Basic Eligibility Requirements:
- May not employ more than 300 employees
- Demonstrate at least a 25% reduction in gross receipts during any quarter in 2020 when compared to the same quarter in 2019
- In operation on or before February 15 ,2020
Anticipated Documentation Requirements:
- 2019 & 2020 Tax Form 941
- 2019 & 2020 Quarterly Financials
- 2019 & 2020 Payroll Information
Premier Bank will continue to provide information as it becomes available to best serve you through these difficult times. Please bookmark this page for the most up-to-date information or contact your banker.