We at Peoples Bank know this has been a stressful time for you and your business. We continue to be here for you.
The PPP program is part of a $900 billion relief bill that Congress approved in late December. SBA has released its revised applications for new and second draw PPP loans. As a Community Development Financial Institution (CDFI), Peoples Bank will be one of the first banks allowed to input PPP loans. You may use the linked checklist here to begin gathering your documentation.
Please note there are a few new documentation requirements from SBA for this round of PPP loans, and these are noted in the checklist. All documents will need to be digitally uploaded using the online application process.
A couple of things will be different this round of PPP loans:
You will be required to have a Peoples Bank Checking Account to fund your loan. You can submit your application without one, but we cannot fund the loan without the account being open.
SBA has implemented more compliance audits this time, and once we submit your approved application to SBA, it will take 24-48 hours before we get SBA approval.
We are also including a document from SBA here which highlights how to calculate your PPP loan amount, and what documentation is required. The descriptions of how to calculate your loan amount begins on Page 31, and the following pages also provide information for sole proprietorships, partnerships, and farmers.
Do you qualify for a 2nd PPP Loan? This is the question everyone is asking. Below is a chart of the time periods you must use to determine if you had at least a 25% revenue drop, based on when your business began. In general, you must either show a revenue decline for the year 2020, or for any calendar quarter in 2020, versus the same quarter in 2019.
Please reach out to us with any questions you may have.