skip to main content

Covid-19 Assistance for Businesses

SBA Paycheck Protection Program - Updated January 2021

As an SBA lender, American State Bank & Trust is prepared to take applications for the second round of the Paycheck Protection Program. Whether this is your first time applying for this program, or your second, we can help you navigate the process smoothly. Please contact us at 1-800-805-4649 or contact your loan officer.

For returning applicants:

Application - Please complete the application for the Second Draw and provide supporting documents to your appropriate lender.

Overview - Please review the overview of the program. 

A borrower is generally eligible for a Second Draw PPP Loan if the borrower:

  • Previously received a PPP Loan and will or has used the full amount only for authorized uses on or before PPP2 is disbursed.
  • Has no more than 300 employees.
  • Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020 (calendar quarters). (excluding first draw PPP funds)

For first-time applicants:

Application - Please complete the application for the First Draw and provide supporting documents to your appropriate lender.

Overview - Please review the overview of the program. 

A borrower is generally eligible for a First Draw PPP Loan if the borrower:

  • Did not receive a PPP loan prior to August 8, 2020.
  • Were in operation on February 15, 2020, are not permanently closed, and are not excluded based on other ineligibility criteria.
  • New entities eligible for First Draw PPP Loans. 501(c)(6), Housing cooperatives, destination marketing organizations, and eligible news organizations.

PPP Loan Forgiveness Process

The new legislation simplifies the PPP loan forgiveness application process for loans $150,000 or less. The information on the loan forgiveness application will be posted on our website once it is available. For the most recent rules regarding the SBA’s PPP loan forgiveness process, please visit the SBA website. The borrower is responsible for compliance with the guidance issued by the SBA.

The CARES Act (Coronavirus Aid, Relief and Economic Security Act) was established by the Federal Government to provide federal assistance funding. Below you will find an overview of the programs that may be available to you. Please note that every business is different, so eligibility for these programs will vary and be based on your particular situation.

Small Business Administration Paycheck Protection Program

The CARES Act includes the Paycheck Protection Program which will provide “paycheck protection loans” to small businesses so they can maintain their existing workforce and pay bills and other obligations.

Businesses with less than 500 employees, including sole proprietorships, self-employed individuals, non-profits and independent contractors, may be eligible for the Paycheck Protection Program.

Businesses can use this loan for the following reasons:

• Payroll Expenses
• Employee Salaries
• Mortgage Interest
• Rent and Utilities

American State Bank is an SBA lender, so we can help you get the process started. Please contact your loan officer today.

 

SBA ECONOMIC INJURY DISASTER LOAN

The SBA Economic Injury Disaster Loans program provides small businesses with working capital loans of up to $2 million. In addition, small businesses can apply for an advance of up to $10,000. The loan advance will provide economic relief to small businesses that are currently experiencing a temporary loss of revenue. Advanced funds will be made available within three days of a successful application and may not have to be repaid.

Businesses can use this loan for operating costs which can include:

• Payroll
• Fixed Debts
• Accounts Payable
• Other expenses that can’t be paid because of the disaster’s impact

Businesses interested in the Economic Injury Disaster Loan must apply through the SBA. Click here to access this application.

Source: https://www.sba.gov/page/coronavirus-covid-19-small-business-guidance-loan-resources#section-header-2

*Rates are subject to change. Contact your lender for current rates. Loans subject to approval and are held by American State Bank & Trust. The Treasury Department, through the SBA, guarantee the loan.

Connect With Us

Group Created with Sketch. !
Member FDIC Equal Housing Lender