Laurie is our guest again, and we cover how Heartland Bank can help your business with the process of applying for the Paycheck Protection Program.
The CARES Act established a new $349 billion Paycheck Protection Program. The Program is providing much-needed relief to millions of small businesses so they can sustain their businesses and keep their workers employed.
The new loan program will be available retroactive from Feb. 15, 2020, so employers can rehire their recently laid-off employees through June 30, 2020.
Laurie covers some of the details, the loan terms and conditions, that include…
- Eligible businesses: All businesses, including non-profits, Veterans organizations, Tribal concerns, sole proprietorships, self-employed individuals, and independent contractors, with 500 or fewer employees, or no greater than the number of employees set by the SBA as the size standard for certain industries
- Maximum loan amount up to $10 million
- Loan forgiveness if proceeds used for payroll costs and other designated business operating expenses in the 8 weeks following the date of loan origination (due to likely high subscription, it is anticipated that not more than 25% of the forgiven amount may be for non-payroll costs)
- All loans under this program will have the following identical features:
- Interest rate of 1.0%
- Maturity of 2 years
- First payment deferred for six months
- 100% guarantee by SBA
- No collateral
- No personal guarantees
- No borrower or lender fees payable to SBA
Currently, Heartland Bank is working with businesses and getting approvals in 48 hours.
Some tips before starting the process…
- Look at the checklist provided on our website
- Work with your CPA or payroll
- Talk with your banker for more information about this program, as well as other options that may be available for your business
- Listen to our previous interview with Laurie
Featuring insights from individual contributors from all corners, nooks and crannies of the Columbus, Ohio region, Scott McComb, Chairman & CEO of Heartland Bank, has a goal to get to the why of our evolving and eclectic environment. Check back often for updates to the list of the latest interviews with some of the area’s most interesting individuals who are ‘Driving the CBus’!
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