Paycheck Protection Program
In the event Congress appropriates additional funds for the PPP, Park State Bank anticipates that there will be high demand for PPP loans. In view of that anticipated demand, and in view of the qualification standards for the PPP, Park State Bank makes no promise nor commitment that a loan will be made to your business or that your application will be submitted to the SBA before additional PPP funds are depleted. Park State Bank will process applications consistent with criteria established by the SBA and Park State Bank, which may change at any time, without notice. If you are not a current borrower of Park State Bank, it may be most efficient for you to apply for a PPP loan through your existing lender.
What it is
The Paycheck Protection Program provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. Funds can also be used to pay interest on mortgages, rent, and utilities.
Funds are provided in the form of loans that will be fully forgiven when used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll). Loan payments will also be deferred for six months. No collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees.
Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease. (Treasury.gov)
PPP information provided by the SBA:
How to apply
- SBA PPP Application
- Articles of Incorporation/Organization
- Certificate of Incorporation/Organization
- Operating Agreement/By-Laws
- Assignment of EIN
- Payroll Data
- ID's of all Owners