Small Business Loan (PPP) Program
Paycheck Protection Program- Second Draw Loans Extended Through May 31, 2021.
We continue to accept and process completed applications from our current business members only for the Paycheck Protection Program (PPP) Second Draw Loans program. This also includes updated applications from our business members.
We have received guidance from the SBA on the updated requirements for this second round of PPP loans. The details are as follows:
- No collateral is needed
- The loan will have a 1% interest rate and a 5-year (60 month) maturity
- The business has a 24-week period to use the funds on eligible costs (payroll, rent, mortgage expenses, operating expenses, workplace protection costs related to COVID)
- At least 60% of the funds are to be used for payroll
- The maximum loan amount is 2.5 months of average monthly payroll
- Entities with a NAICS code starting with 72 will be eligible for 3.5 months of average payroll costs
Please note that the eligibility requirements have changed from the First Draw loans. The Second Draw loans requirements are as follows:
- Business must have 300 or fewer employees
- Businesses with multiple physical locations must have 300 or fewer employees per location
- Business must have experienced a revenue reduction of at least 25% from 2019 to 2020
- Business must have used or will use the full amount of the First Draw Paycheck Protection Program loan on eligible expenses
For reference, the SBA has provided an FAQ link for your review with detailed information.
We continue to accept and process completed applications including updated applications from our current business members. Calculations will be based on either calendar year 2019 or calendar year 2020. Upon receipt of application, we will determine what additional documentation is required to be provided to us.
For more information, please email [email protected].