SBA Paycheck Protection Program
The SBA Paycheck Protection Program provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. Funds can also be used to pay interest on mortgages, rent, and utilities.
Funds are provided in the form of loans that will be fully forgiven when used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll). Loan payments will also be deferred for six months. No collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees.
Must Keep Employees on the Payroll—or Rehire Quickly
Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease.
All Small Businesses Eligible
Small businesses with 500 or fewer employees—including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietorships, and independent contractors—are eligible. Businesses with more than 500 employees are eligible in certain industries.
How to Apply
In anticipation for a second round of funding, Passumpsic Bank is accepting PPP applications. We cannot guarantee that we will be able to submit to the SBA all PPP applications that we receive, as the demand will be high and funding will be limited, or that the SBA will accept all applications. The SBA will not maintain a queue for PPP applications submitted by Passumpsic Bank if additional funds are authorized, but we will do our best to submit applications that are fully complete and supported with all required supporting documentation on a first come, first serve basis.