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Paycheck Protection Program

FSB Cares about the economic health of our community and we are committed to the success of local businesses. We are pleased to announce that we will once again be partnering with the Small Business Administration (SBA) and its Paycheck Protection Program (PPP).

PPP loans can be used to help fund payroll costs, including benefits. Funds can also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations.

Our secure portals are now open to submit your PPP Application. PLEASE NOTE: For your safety, due to the sensitive nature of the financial information contained within your application, we will only be accepting applications through our secure portal. 
 

About the Application Process:

First, you will access the secure portal and click the blue "Send Me Files Securely" button to request a secure link to submit your application. Once we verify your identity, you will receive an email from FSB that will contain the secure link needed to submit your application. After your application is submitted, you will receive a confirmation page. This is your initial verification that your application has been received into our secure platform.

Within 1 – 2 business days, you will receive a follow up “Welcome” message. This email will outline the next steps in the process including submitting supporting documentation. Loan requests are processed in the order in which they are received. Due to the volume of loan requests received, we are unable to provide a specific timeline for the application process, however, please be assured that we are working diligently to review and process your application. Please monitor your inbox daily for updates on the status of your loan. To help expedite the review of your application please ensure your form has been completely filled out and documentation requirements are met. Documentation requirements for first and second draw can be found below. 
 

FIRST TIME APPLICANTS:

Eligible small entities, that together with their affiliates (if applicable), have 500 or fewer employees—including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietorships, and independent contractors—can apply. For additional program details, click here

Please download the application PDF and save to your computer before filling it out. When completing your application, please make sure all fields can be clearly read. We must be able to read each field in its entirety to be able to process your application. First State Bank is unable to modify your application on your behalf.

Follow the steps below:

1. Download the PPP Application for First Time Borrowers

2. Complete the First Draw Borrower - Loan Calculation Worksheet

3. Submit New PPP Borrower: Application and Worksheet here

4. Upon submitting application and worksheet, you will receive an email containing a link to the secure portal through which you’ll submit your required documentation.

     a.    Note: An email link to upload documentation will be provided once the application is submitted. The application is considered submitted once all supporting documents have also been submitted. 

RESOURCES:
First Draw PPP: How to Calculate First Draw PPP Loan Amounts

Confirm or Find NAICS Code

Affiliation Rules for Paycheck Protection Program
 

FIRST DRAW DOCUMENTATION REQUIREMENTS:
Applicants must provide the following when applying for a First Draw PPP loan:

1. A completed First Draw Borrower - Loan Calculation Worksheet

2. A payroll register as of 2/15/2020 or for sole proprietors and independent contractors, a February 2020 bank statement or invoice showing the business was in operation on February 15, 2020

3. Documentation verifying the number of full-time equivalent employees (FTE) on the applicant's payroll. Documentation may be a combination of the following:

  • 2019 or 2020 calendar year third party payroll report listing all employees and the average number of hours worked per week
  • 2019 or 2020 941 tax filings
  • For seasonal employers, payroll may be determined by any consecutive 12-week period between February 15, 2019 and February 15, 2020

4. Documentation that supports the amount of payroll costs incurred for either 2019 or 2020, depending on which year is used for the loan amount calculation Payroll costs include employee compensation, benefits, owner compensation, retirement, and state payroll taxes. Documentation may be a combination of the following:

  • 2019 or 2020 W3 or W2 for all employees
  • 2019 or 2020 calendar year third party payroll report listing all employees and total wages
  • all four quarters 2019 Payroll Tax Filings (941/940)
  • Income and expenses from a sole proprietorship
  • Bank records
  • 2019 or 2020 Form 1099-MISC, Schedule C or Schedule F (self-employed individuals only)


SECOND DRAW APPLICANTS:

The Paycheck Protection Program (PPP) now allows certain eligible borrowers that previously received a PPP loan to apply for a Second Draw PPP Loan if all of the following conditions apply. For additional program details, click here

  • The current economic uncertainty makes the PPP loan necessary to support ongoing operations
  • The loan you request is $2 million or less
  • The business has 300 or fewer employees
  • The business used, or will use, the full amount of their first PPP loan on or before the expected date on which the Second Draw PPP Loan is disbursed to you
  • The business can show a 25% gross revenue decline in any 2020 quarter compared with the same quarter in 2019
    • An example of this calculations is:
      You have gross receipts of $50,000 in the second quarter of 2019 and gross receipts of $30,000 in the second quarter of 2020. This means you have experienced a revenue reduction of 40% between the quarters, and are therefore eligible for a Second Draw PPP loan (assuming all other eligibility criteria is met).
      • Documentation requirements to substantiate the 25% gross receipts reduction
        • If you are providing quarterly financial statements (showing one quarter in 2019 compared to the same quarter in 2020), then you must sign and date the first page of the statements, and initial all other pages. 
        • If you are providing quarterly or monthly bank statements, then you must note which deposits listed on the bank statement reflect gross receipts.  
        • If you are referencing annual revenue decline (as opposed to one quarter in 2019 compared to the same quarter in 2020), then your annual returns are required.
        • However:
          • If you have not yet filed a tax return with the IRS for 2020, you must complete the return forms, calculate the relevant gross receipts value, and sign and date the return
          • If you have filed your tax returns, you must submit signed copies of those returns
             

Your business is not eligible if:

Please download the application PDF and save to your computer before filling it out. When completing your application, please make sure all fields can be clearly read. We must be able to read each field in its entirety to be able to process your application. First State Bank is unable to modify your application on your behalf.
Follow the Steps Below:
1.    Download the PPP Application for Second Draw Borrower 
2.    Complete the Second Draw Loan Calculation Worksheet
3.    Submit Returning PPP Borrower: Application Here
4.   Upon submitting application and worksheet, you will receive an email containing a link to the secure portal through which you’ll submit your required documentation.
      a.    Note: An email link to upload documentation will be provided once the application is submitted. The application is considered submitted once all supporting documents have also been submitted. 

RESOURCES:

Second Draw PPP: How to Calculate Revenue Reduction and Maximum Loan Amounts Including What Documentation to Provide

Confirm or Find NAICS Code

Affiliation Rules for Paycheck Protection Program

SECOND DRAW DOCUMENTATION REQUIREMENTS

Applicants must provide the following when applying for a Second Draw PPP loan:
1.    A payroll register as of 2/15/2020 or for sole proprietors and independent contractors, a February 2020 bank statement or invoice showing the business was in operation on February 15, 2020

2.    Documentation verifying the number of full-time equivalent employees (FTE) on the applicant's payroll. Documentation may be a combination of the following:

  • 2019 or 2020 calendar year third party payroll report listing all employees and the average number of hours worked per week
  • 2019 or 2020 941 tax filings
  • For seasonal employers, payroll may be determined by any consecutive 12-week period between February 15, 2019 and February 15, 2020

3.    Documentation that supports the amount of payroll costs incurred for either 2019 or 2020. Documentation may be a combination of the following:

  • 2019 or 2020 W3 or W2 for all employees
  • 2019 or 2020 calendar year third party payroll report listing all employees and total wages
  • all four quarters 2019 Payroll Tax Filings 941/940
  • Income and expenses from a sole proprietorship
  • Bank records
  • 2019 or 2020 Form 1099-MISC, Schedule C or Schedule F (self-employed individuals only)

4.    Financial statements or tax forms to support the 25% reduction in gross receipts for the periods referenced in the application. Note: If the PPP loan requested is less than $150,000 this is not a requirement at the time of application. This will be required to apply for forgiveness. The bank is asking for it upfront as a best practice and to expedite the SBA’s forgiveness.

Documentation may include a combination of the following:

  • 1120/1120S
  • Schedule C
  • 1065
  • Schedule F

Calculating the Loan Amount:

You can receive a loan amount of up to 2.5 times your average monthly payroll costs in the year prior to the loan or the calendar year, the same as the previous PPP round. But the maximum loan amount allowed for this round is now $2 million. PPP Borrowers with NAICS codes starting with 72 (accommodation and food service) can receive up to 3.5 times their average monthly payroll costs up to $2 million.

Seasonal employers may calculate their maximum loan amount based on a 12-week period beginning February 15, 2019 through February 15, 2020. 
Seasonal businesses are categorized as businesses that operate for no more than 7 months or 75% of revenue occurs in 6 months or less.

Please note: Individual contractors do not count as employees for purposes of PPP loans as they have the ability to apply for a PPP loan of their own.

Coverage Period

Borrowers are now able to choose the length of their covered period so long as it is at least eight weeks and is not longer than 24 weeks.

Use of PPP Funds:

Congress expanded the types of expenses for which all PPP loans can be used. This applies to existing PPP loans (except in the event Forgiveness has already been obtained) and new loans. In addition to payroll, rent, covered mortgage interest and utilities, the PPP now allows proceeds to be used for:

  • Covered worker protection and facility modification expenditures incurred on or after March 15, 2020, including personal protective equipment to comply with COVID-19 federal health and safety guidelines
  • Expenditures to suppliers that are essential at the time of purchase to the recipient’s current operations
  • Covered operating costs such as software and cloud computing services and accounting needs
  • Covered property damage costs related to property damaged and vandalism or looting due to public disturbances that occurred during 2020 that was not covered by insurance or other compensation

Since each individual’s facts and circumstances will vary, the guidance on some of these pages may not be accurate for you. Therefore, you should consult with your legal, tax, and/or accounting advisors for advice on your specific situation.
 

It is our priority to support and serve our loyal business customers in good standing so we will only be accepting applications from existing clients. If you require support, please send an email to pppsupport@fsb.bank.

Reminder: If you have previously received funding through the PPP, applications for loan forgiveness are now being accepted. Click here to learn more or to submit your loan forgiveness application.
 

Submit Your PPP Application

First Time PPP Applicants Second Draw Borrowers