The Paycheck Protection Program (PPP) provides loans to help businesses keep their workforce employed during the Coronavirus (COVID-19) crisis. The Small Business Administration (SBA) is currently offering:

• First Draw PPP Loans for first time program participants
• Second Draw PPP Loans beginning January 13, 2021 for certain businesses who have previously received a PPP loan

The SBA is currently accepting Paycheck Protection Program PPP loan applications from participating community financial institutions (CFIs) and lenders with under $1 billion in assets, which includes approximately 5,000 institutions, including community banks, credit unions, and farm credit institutions. Lender Match can help you find a participating lender. The program will open to all lenders on January 19, 2021.

What You Need to Apply:

In an effort to serve you better  and streamline the application process,  we encourage you to:

• Determine your eligibility. Please refer to the SBA site for more information
• Decide which PPP lending program  you qualify for:
  • First Draw PPP applicants have not previously received a PPP loan from a financial institution) – use SBA Form 2483
  • Second Draw PPP applicants (have previously received a PPP loan from a financial institution) – use SBA Form 2483-SD
• Gather the following information and documentation before you apply:
  • Ownership information, including your Tax Identification Number (TIN) and breakdown of ownership
  • Confirm your employee count as of 02/15/20
  • Documentation demonstrating the business was in operation on 02/15/20
  • For payroll expenses, gather and scan copies of quarterly 941s and annual payroll summary reports.

Two important notes for Second Draw applicants:

1. On your application, you will need to supply the SBA loan number. If you received your PPP loan with a financial institution, you can locate this number in one of two ways:

• On the first page of your Initial PPP loan
• From your financial institution

2. If you received your initial PPP loan with a lender, the SBA loan number may be on your Note or you can contact the lender to obtain it

Contact you lender for additional details on how to locate the SBA loan number.

Businesses also need to demonstrate a 25% reduction in gross receipts*:

• For loans above $150,000 – you must provide documentation demonstrating 25% reduction in gross receipts for loans $150,000 and greater. Such documentation may include relevant tax forms, including annual tax forms, or, if relevant tax forms are not available, quarterly financial statements or bank statements
• For loans $150,000 and less – you must certify the 25% gross receipt reduction in the online PPP application; however, documentation will not be required until applying for loan forgiveness. When you apply for your PPP loan, you will have the option to provide documentation at that time

^*Note: the SBA’s definition of gross receipts includes: “all revenue in whatever form received or accrued (in accordance with the entity’s accounting method) from whatever source, including from the sales of products or services, interest, dividends, rents, royalties, fees, or commissions, reduced by returns and allowances.” Gross receipts must be aggregated with gross receipts of its affiliates.

Members with questions on this information can contact Harry Marino at Marino Advisory Group for assistance.  Contact Harry at (585) 943-6740 or hmarino@marinoadvisorygroup.com.

Tim Freeman, President
Print & Graphic Communications Association
tim@printcommunications.org
office: (716) 691-3211
cell:  (716) 983-3826