Paycheck Protection Program
- Loan amounts are based upon average monthly payroll costs, subject to certain caps
- Most qualifying businesses can borrow a maximum of 2.5 times their average monthly payroll costs
- Businesses under NAICS code 72 may receive loans up to 3.5 times their average monthly payroll costs
- 1% fixed interest rate, calculated on a simple, non-adjustable basis
- 5-year loan term
- Deferred payments of principal and interest
- No collateral or personal guarantees required
- Forgivable when used for allowable purposes that meet the necessary guidelines:
- Payroll costs – including certain group benefits - must be ≥ 60% of the loan
- Mortgage interest
- Worker protection costs related to COVID-19
- Uninsured property damage costs caused by looting or vandalism during 2020
- Certain supplier costs and expenses for operations
A First Draw PPP Loan is a loan available to a first-time borrower who did not receive a PPP loan in the initial rounds made in 2020 under the CARES Act.
- The maximum loan amount is $10 million
- Businesses with 500 or fewer employees, including:
- Business entities – e.g. Corporations or LLCs
- Sole proprietorships
- Independent contractors
- Certain nonprofit organizations
- Veterans’ organizations
- Tribal business concerns
- Faith-based organizations with 150 employees or less
- Housing cooperatives with 300 employees or less
- Nonprofit organizations with 300 employees or less that:
- do not receive more than 15 percent of receipts from lobbying;
- the lobbying activities do not comprise more than 15 percent of total activities; and
- the cost of lobbying activities of the organization did not exceed $1,000,000 during the most recent tax year that ended prior to February 15, 2020
- Businesses that have been in operation as of February 15, 2020
- For a more complete explanation, review the SBA’s First Draw Loans Overview
A Second Draw PPP Loan is available to borrowers that previously received a PPP loan and have used or will use the full amount of their initial funds for authorized purposes on or before the expected date of disbursement of the Second Draw PPP Loan.
- The maximum loan amount is $2 million
- Eligible businesses with…
- 300 or fewer employees for most businesses
- 500 or fewer employees for hotels or restaurants, with no more than 300 employees per location
- Existing PPP loan borrowers may be eligible if they:
- Received and used or will use all the funds from a first draw on eligible expenses before the second draw is disbursed
- Can demonstrate a 25% decline in revenue for any quarter in 2020 vs. the same quarter in 2019
- Covered period between eight and 24 weeks can be selected
- Application must be signed by a signer on the first loan
- For a complete explanation, review the SBA’s Second Draw Loans Overview
The SBA has implemented new changes that will substantially enhance the funding available to sole proprietors, independent contractors and self-employed individuals. Those who file an IRS Form 1040, Schedule C can now calculate their maximum PPP loan amount using gross income on their Schedule C tax form.
This calculation change is available for both first-draw and second-draw borrowers. Under SBA guidelines, this only applies to new loans approved after March 3, 2021. Borrowers that have already had their loans approved cannot increase their PPP loan amount based on the new maximum loan formula.
General Applicant Requirements
- You must be an authorized representative who can borrow on behalf of the business
- Your business must have been in operation as of 02/15/20 and not be permanently closed
- If the applicant shares management with other businesses, you must provide information – including TINs and applicant relationship/ownership - regarding those businesses
- If the applicant has received an Economic Injury Disaster Loan [EIDL] between 01/31/20 and 04/03/20, general information will need to be provided
- If applying as a franchise, you will need to enter the SBA Franchise Identifier Code at the time of application: Refer to sba.gov/sba-franchise-directory or contact your local SBA District Office for assistance
Refer to our basic Documentation Checklist to assemble supporting documentation and calculate your requested loan amount.
Assemble Supporting Documentation
Register through our secure PPP Application Portal where you will gain access to the step-by-step application process.
Begin the Application Process
- The Application Portal can only be accessed from the most current version of one of the following web browsers on a desktop computer or laptop: Google Chrome (preferred), Firefox (preferred), Edge, or Safari. Internet Explorer is not supported at this time.
- If your first PPP loan was with Farm Bureau Bank, and you would like to request a second draw, you will need to have a different email address that you use when applying so that a unique record can be established for that loan
An invitation to apply has been sent to the email address associated with your PPP loan from firstname.lastname@example.org with a link to apply for forgiveness. Please complete this on-line application, as soon as possible.
Below, we have highlighted important information for you:
- You should have received a link from email@example.com.
- Please use the link in the most recent communication to apply
- As a security measure, the link only remains active for 72 hours
- After 72 hours, if you do not receive another link from us, please email firstname.lastname@example.org to request a new link
- The application is viewable in the latest versions of Chrome, Firefox, or Safari Internet browsers
- When registering, please bookmark the login page as a favorite on your browser to login and check the status of your forgiveness anytime
- Using iPhones, Androids, iPads, or other mobile devices and tablets have shown some incompatibilities in viewing the whole screen, therefore we suggest using a desktop computer or laptop to upload documents, confirm calculations, and submit applications
- If additional information is needed, we will e-mail you a request for information
Please allow us 3-4 weeks to process your request prior to requesting a status update.
If you have any questions or need to request a new link, please email email@example.com.