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Paycheck Protection Program (PPP)

As our business customers navigate through these challenging times, we want to ensure that you are aware of some important and potentially business-saving resources.

Paycheck Protection Program (PPP) Funding Depleted

On May 4, 2021, the SBA announced that federal funding for the Paycheck Protection Program (PPP) has been depleted. As such, we are no longer able to accept applications at this time. Please feel free to reach out to our commercial bankers at (262) 549-8551 if you have any questions or concerns.

Paycheck Protection Program (PPP) Loan Forgiveness Application

PPP loan forgiveness is based on employers maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease.

On June 5, 2020, the Paycheck Protection Program Flexibility Act was enacted, which modified certain provisions relating to forgiveness of PPP loans. On Tuesday, June 16, 2020, the Small Business Administration (SBA) published a revised PPP Loan Forgiveness Application (Form 3508) to implement changes made by the PPP Flexibility Act. The SBA also released a new three-page "EZ" version of the forgiveness application requiring less documentation and fewer calculations than previously required. Form 3508EZ applies to borrowers who meet any one of these three criteria:
  • Applied for the PPP loan as self-employed, an independent contractor or a sole proprietor with no employees; OR
  • Did not reduce salary or wages for any employee by more than 25%, and did not reduce the number or hours of their employees; OR
  • Experienced reductions in business activity as a result of health directives related to COVID-19 and did not reduce the salaries or wages of their employees by more than 25%.
Both applications give borrowers the option of using the original eight-week Covered Period (if your loan was made before June 5, 2020) or an extended 24-week Covered Period.

If you received a PPP loan, please familiarize yourself with the Loan Forgiveness Application and begin collecting the documents and records required by the SBA. And as always, please feel free to reach out to our commercial bankers as a resource at (262) 549-8551.

SBA Streamlines PPP Forgiveness for Loans of $150,000 and Less

On January 19, 2021, the Small Business Administration released a streamlined loan forgiveness application for Paycheck Protection Program loans totaling $150,000 or less.

The one-page forgiveness application, Form 3508S, includes certifications from the borrower but does not require calculations or documentation to be submitted with the application. Applicants must retain documentation verifying forgivable payroll expenses for four years and non-payroll expenses for three years.