The United States recently passed the CARES Act (Coronavirus Aid, Relief and Economic Security Act). This act allocates $350 billion to help small businesses keep workers employed amid the pandemic and economic downturn. Also known as the Paycheck Protection Program (PPP), the initiative provides 100% federally guaranteed loans to small businesses through SBA (Small Business Administration) approved lenders, like Sound Community Bank. Use the "More Details" link below to learn eligibility requirements and other information.
Information on the Program
- Must meet eligibility requirements such as number of employees and business type – check the US Chamber of Commerce link below for more eligibility information
- Funds from these loans may be used for payroll, debt obligations incurred before February 15, 2020, employee salaries, mortgage interest, and rent
- Businesses may apply for up to 2.5 times their monthly payroll
- A fixed-rate loan which doesn’t exceed an interest rate of 4%, regardless of business type
- There is no loan payment for the first 6 to 12 months
- Importantly, these loans may be forgiven if borrowers maintain their payrolls during the crisis or restore their payrolls afterward
- US Chamber of Commerce link: https://www.uschamberfoundation.org/reports/coronavirus-emergency-loans-guide-and-checklist-small-businesses-and-nonprofits
How to Apply
Please review the most common errors when coompleting the SBA PPP Loan application here.
- Select “Apply Now” at the bottom. We suggest opening this link in a new tab so you may reference the instructions below.
- If you have not applied for a business loan before online, create a login, and sign in. Or, use your existing credentials (not the same as your Sound Community Bank Online Banking credentials) to log in once again.
- Select the SBA Loan Type.
- Complete the application. The bar at the top indicates your progress in the application and whether all required data is completed.
- If you already completed the SBA PPP Application, then upload it on the Documents tab of the application.
- If you have not completed the SBA PPP Application, then download the application and complete the application form(s) – both located on the Documents tab. Once complete, upload the file(s) within the Documents tab, save, and submit the application.
- Additional documents are required to complete the application process. A Sound Community Bank representative will contact you within 24-hours of the submission and guide you through collection of these documents.
**Please note: additional documentation may be required after application submission.**