Paycheck Protection Program

• Loans can be for up to two and a half months of your average monthly payroll costs. NOTE: Payroll costs will be capped for employees that earn more than $100,000

• The loan amount has a maturity date of 5 years and an interest rate of 1.00%

• Loan payments will be deferred for 10 months after the end of the covered period for the borrower’s loan forgiveness (either 8 weeks or 24 weeks), or for borrowers who apply for loan forgiveness, payments will be deferred until the SBA remits the borrower’s loan forgiveness amount to the lender.

• No collateral is required.

• No personal guarantees are required.

• Neither the government nor lenders will charge small businesses any fees.

• If the Business maintains their workforce, the SBA will forgive the loan proceeds that are used to cover the first 8 to 24 weeks of payroll. NOTE: The SBA will fully forgive the loan if the funds are used eligible expenses. Forgiveness is based on the employer maintaining or rehiring employees and maintaining a minimum of 75% of compensation levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease more than 25% (exceptions apply).

Please also note, the following:

• Minimum loan amount is $10,000

• Borrower has no more than 300 employees

• NIHFCU will not participate in offering 1099 contractors a PPP loan

To submit your application, please complete the appropriate application, gather the required documents and email them to mjones@mbls.org.

PPP First Draw: Provide these documents if you have never received a PPP loan.

• Completed first draw PPP application

• 2019 & 2020 IRS quarterly 940, 941 or 944 payroll tax report

• For Sole Proprietors specifically, provide 2019 Personal Tax Return Schedule C

• 2019 Payroll Reports (e.g., 12 months of gross wages and hours for each employee)

• Documentation showing total health insurance premiums paid by the small business under a group health plan

• Document the sum of all employer-funded retirement plan contributions by the small business

• Organization documents to include: Articles of Incorporation, Operating Agreement

• COVID-19 Action Plan detailing (a) how the small business is afflicted by COVID-19, (b) how is the business operating under the current restrictions, and (c) how is the business preparing for the resurgence of its operation post-COVID-19.

Email your completed application and documentation mjones@mbls.org

PPP Second Draw: Provide these documents if you have received a PPP loan from NIHFCU Business Lending or any other lender.

• Completed PPP second draw application

• Documented use of all first draw monies for authorized uses only

• Demonstrate a 25% reduction in gross receipts between comparable quarters in 2019 and 2020 (e.g. 2019 and 2020 internal quarterly income statement)

Email your completed application and documentation mjones@mbls.org

When Dr. Keith Progebin couldn’t get a PPP loan from his large bank, he turned to NIH Federal Credit Union, find out what happened next from the DC Prosthodontist himself.