COVID-19 Update: Effective November 23, Compeer Financial offices will be open by appointment only. We are committed to serving you and have several options for connecting with us.
PPP Forgiveness Information and Resources
Updated January 21, 2021: The government has passed a new stimulus bill that authorizes additional funding and streamlined forgiveness for the Paycheck Protection Program (PPP). On December 27, 2020, the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (Economic Aid Act) was enacted, which reauthorizes lending under the PPP through March 31, 2021.
These SBA forgivable loan programs were created to assist small businesses in meeting payroll and other critical expense needs. These loans require a certification that current economic uncertainty makes this loan request necessary to support the ongoing operations of the Applicant.
How to Calculate Loan Amounts (Detailed SBA Guidance)
Before you begin, please carefully review the below SBA guidance on how to calculate and properly document PPP loan amounts:
How to Calculate Maximum Loan Amounts for First Draw PPP Loans and What Documentation to Provide – By Business Type (1/17/2021)
Second Draw PPP Loans – How to Calculate Revenue Reduction and Maximum Loan Amounts Including What Documentation to Provide (1/19/2021)
Updated First Draw PPP Loan Application
The “First Draw” PPP program is reopened with additional funding. This is only open to borrowers that did not receive an initial PPP loan.
SBA First Draw Borrower Application (SBA 2483)
Top-Line Overview of First Draw PPP Loans (Released 1/8/21)
Interim Final Rule #1 – PPP as Amended by Economic Aid Act (Released 1/6/21)
Applying for an Increase to a First Draw PPP Loan (Recalculated First Draw)
Under certain circumstances, a client may apply for an increase in their original “First Draw PPP” loan amount.
See pages 40 or 74-76 of Interim Final Rule #1 – PPP as Amended by Economic Aid Act (Released 1/6/21)
Second Draw PPP Loan Application
A “Second Draw” PPP program is created and opened. This program has slightly different rules than “First Draw” PPP loans and is targeted to borrowers that had a revenue reduction of 25% or greater in any quarter of 2020 versus the same quarter of 2019.
SBA Second Draw Borrower Application (SBA 2483-SD)
Top-Line Overview of Second Draw PPP Loans (Released 1/8/21)
Interim Final Rule #2 – PPP Second Draw Loans (Released 1/6/21)
Please follow these 5 steps to expedite your application as quickly as possible.
1. Choose the proper application.You will need to download the PDF file before filling anything in.
SBA First Draw Borrower Application (SBA 2483) (First Draw or Recalculation)
2. Provide all relevant applications and supporting documentation (application scanned as a single PDF document and supporting documentation scanned as a single PDF document).
Provide all documentation that verifies numbers used in your calculations. Below is a list of common documentation:
4. Please submit only one application and supporting documentation
If you need to amend your application, please contact your Financial Officer.
5. Submit to the Portal.
PPP Forgiveness Information and Resources
We are awaiting revised guidance and loan forgiveness applications from SBA.
Since the new legislation also contains changes to the forgiveness process. Compeer Financial recommends clients pause on submitting PPP forgiveness applications at this point. We will not be submitting any additional PPP forgiveness applications to SBA until we receive guidance from SBA on the changes to the forgiveness process.
Loan forgiveness will be dependent on the client expending the funds on documented payroll costs, covered mortgage interest payments, covered rent payments, covered utilities, covered operations expenditures, covered property damage costs, covered supplier costs, and covered worker protection expenditures, and not more than 40% of the forgiven amount may be for non-payroll costs.
Questions about the PPP loan program? Please contact [email protected]
If your application for business credit is denied, you have the right to a written statement of the specific reasons for that denial. To obtain that statement, please contact us within 60 days from the date that you were notified of our decision. We will send you a written statement of the statement. NOTICE: The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age (provided the applicant has the capacity to enter into a binding contract), because all or part of the applicant's income derives from any public assistance program, or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. The federal agency that administers our compliance with this law is the Farm Credit Administration, 1501 Farm Credit Drive, McLean, VA 22102-5090.