Posts Tagged ‘ COVID-19 Information ’

Emergency Loan Program Applications Being Accepted

On Monday, March 23, the Minnesota Department of Employment and Economic Development (DEED) announced a Small Business Emergency Loan program to help business owners who are experiencing temporary cash flow shortages as a result of statewide orders to close restaurants, bars and other select public services.

Because of our long history of partnering with DEED in other lending programs, Southern Minnesota Initiative Foundation (SMIF) was chosen as one of nearly two dozen statewide organizations to accept Small Business Emergency Loan applications. 

Businesses located in SMIF’s 20-county region must submit applications directly to our SMIF lenders. See contact information below .

While the outline of DEED’s Small Business Emergency Loan program is available online, agency staff still are developing application approval criteria. For the time being our lenders are accepting applications and recording them in the order in which they are received. Loan consideration will start when DEED provides application approval criteria.

SMIF will require additional documentation before a loan application can be processed. We also strongly encourage applicants to confer with their bank about possible accommodations on existing loans.  

We understand the urgency of this situation for businesses across our region. We will do everything in our power to respond and act quickly to help our entrepreneurs and our communities. Please check our emergency response page for updates. We also will send email updates with criteria from DEED as soon as information becomes available.

Click HERE for the Emergency Loan Application.

Contact SMIF lenders with questions or to submit the application.

Source: Southern Minnesota Initiative Foundation

SBA COVID-19 Economic Injury Disaster Loan Program

Thanks to a concerted effort by the state of Minnesota and the SBA to contain the economic impact of Coronavirus, the state’s small businesses are now eligible for the SBA Economic Injury Disaster Loan Program and can apply for a loan online. For info and forms you’ll need, please read the info below before going online.

MORE ABOUT EIDL LOANS

  • This program can provide low-interest loans of up to $2 million to businesses and private non-profits.
  • These loans may be used to pay fixed debts, payroll, accounts payable and other bills. 
  • The current interest rate is 3.75% for small businesses; for non-profits is 2.75%.
  • These loans have long-term repayment options, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based on borrower’s ability to repay.
  • Read the News Release regarding  MINNESOTA Declaration 16365 and Fact Sheet. 

EIDL LOAN TRAINING VIDEO NOW AVAILABLE

If you have questions on this loan and best practices for applying, watch this14 minute EIDL Application Training (link is external). Special thanks to the St. Paul Area Chamber of Commerce for helping us meet demand by hosting this video on their website. Our office is holding this same training twice daily and those are filling very quickly.

FILL OUT THESE FORMS FIRST!We HIGHLY recommend you complete your application online, do not mail it in. However, preparing these documents before you go to SBA.gov/disaster will streamline the process for you. Here’s a list of documents you’ll need to provide to complete the application: 

Need help filling out the application?  Watch our Training (link is external)download the slide deck, or Access these step-by-step instructions


STAY UPDATED

Other resources:

COVID-19 DEED Small Business Emergency Loan Fund

Small Business Emergency Loans following executive order 20-15, DEED has established a loan program to assist small businesses affected by Executive Orders 20-04 and 20-08 following the COVID-19 pandemic. Small businesses are a vital part of Minnesota’s economy and this program will provide a source of working capital to help businesses sustain operations during this challenging time.

  • Range from $2,500 to $35,000 and will be based on the firm’s economic injury and the financial need.
  • Be provided to Minnesota-based businesses only.
  • Be interest free.
  • Be paid back monthly over five years and the first payment will be deferred six months with potentially partial forgiveness.

DEED released their Small Business Emergency Loan fund applications. Please review the requirements below.
Eligibility

  • In order to be eligible for a Small Business Emergency Loan, businesses must be able to demonstrate that it was directly and adversely affected by the conditions that precipitated the emergency declaration as noted in Executive Orders 20-04 and 20-08.

The following businesses are noted in those Executive Orders:

  • Restaurants, food courts, cafes, coffeehouses, and other places of public accommodation offering food or beverage for on-premises consumption, excluding institutional or in-house food cafeterias that serve residents, employees, and clients of businesses, child care facilities, hospitals, and longterm care facilities.
  • Bars, taverns, brew pubs, breweries, microbreweries, distilleries, wineries, tasting rooms, clubs, and other places of public accommodation offering alcoholic beverages for on-premises consumption.
  • Hookah bars, cigar bars, and vaping lounges offering their products for on premises consumption.
  • Theaters, cinemas, indoor and outdoor performance venues, and museums.
  • Gymnasiums, fitness centers, recreation centers, indoor sports facilities, indoor exercise facilities, exercise studios, and spas tanning establishments, body art establishments, tattoo parlors, piercing parlors, businesses offering massage therapy or similar body work, spas, salons, nail salons, cosmetology salons, esthetician salons, advanced practice esthetician salons, eyelash salons, and barber shops. This includes, but is not limited to, all salons and shops licensed by the Minnesota Board of Cosmetologist Examiners and the Minnesota Board of Barber Examiners.
  • Amusement parks, arcades, bingo halls, bowling alleys, indoor climbing facilities, skating rinks, trampoline parks, and other similar recreational or entertainment facilities.
  • Country clubs, golf clubs, boating or yacht clubs, sports or athletic clubs, and dining clubs.

To qualify, the businesses must:

  • Be current on financial obligations as of March 1, 2020
  • Be an existing small business (whatever the form of their organization)
  • Have been operating in Minnesota for at least one year
  • Be willing to provide collateral or personal guarantee for at least 20% of loan
  • Have been denied credit by a lender and have sought or be in the process of seeking, SBA Economic Injury Disaster Loan assistance.
  • Pay-off the emergency loan if financing is received subsequent to loan approval.

Loans cannot be provided to businesses that:

  • Derive income from passive investments without operational ties to operating businesses
  • Generate any part of its income from gambling or adult-oriented activities
  • Have no current or historical financial statements

Citizens Bank Minnesota is here for you! Our lenders are only an email, phone call away. Please do not hesitate to reach out to us with any questions or concerns you may have. Our lenders are listed by branch below.

Member FDIC

SBA Disaster Assistance in Response to the Coronavirus

SBA’s Economic Injury Disaster Loans [EIDL] offer up to $2 million in assistance and can provide vital small businesses and private non-profits to help overcome the temporary loss of revenue. These loans are only intended as working capital loans to assist with the impact caused by the coronavirus emergency. Loan funds may be used to pay fixed debts, accounts payable and other bills that can’t be paid because of the disaster’s impact. 

Interest rates are 3.75% for small businesses and 2.75% for non-profits. 

Loans are offered with long-term repayments in order to keep payments affordable; loans can go up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon the borrower’s ability to repay. 

Visit www.sba.gov/disaster for more information. For additional information, you may contact the SBA disaster assistance customer service center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or email disastercustomerservice@sba.gov

For an EIDL application: 
Electronic – Go to https://disasterloan.sba.gov/ela/
1.  Select Apply Online
2.  Register; in the future use LOGIN
3.  They are suggesting that you apply from 7:00 pm to 7:00 am due to
the high volume.
4.  They state that some users are having problems with CHROME;
suggest that you use EDGE or INTERNET EXPLORER  
5. APPLY 

Paper – While electronic filing is easier, faster and more accurate, paper loan applications can be downloaded from www.sba.gov/disaster. 
Completed application should be mailed to:  
U.S. Small Business Administration
Processing and Disbursement Center
14925 Kingsport Road
Fort Worth, TX 76155
 
Disaster loan information and application forms can also be obtained by calling the SBA’s Customer Service Center at 1-800-659-2955 (1-800-877-8339 for the deaf and hard-of-hearing) or by sending an email to disastercustomerservice@sba.gov

These are the FORMS that will be needed: 
1.   Completed SBA loan application [SBA Form 5] for partnerships, corporations, limited partnerships, nonprofits, limited liability entity – information needed for Form 5:
• Organization type and legal name; Trade Name if any [Secretary of
State registration]
• EIN
• Address and phone numbers
• Date business established
• Number of employees [pre-disaster]
• Insurance coverage [if any] coverage type, name of company and
agent
• Owners – names; title; % owned; SSN; marital status, DOB, POB, phone
number, address 
2.   Completed SBA loan application [SBA Form 5c] for sole proprietorships – information needed for Form 5:
• Legal names; EIN; DOB; POB; marital status
• Address; phone numbers; emails
• Debts – mortgages, installment loans, student loans, credit cards,
insurance, real estate taxes
• Number of employees [pre-disaster]
• Insurance coverage [if any], coverage type, name of company and
agent, policy number
• Assets 
3.   Tax Information Authorization [IRS Form 4506T] for the applicant, principals owning 20% or more of the applicant business, each general partner or managing member, and for any owner who has greater than 50% ownership in an affiliate business. Affiliates include, but are not limited to, business parents, subsidiaries, and/or other businesses with common ownership or management. Information needed:
• Names on tax return
• SSN or EIN
• Current name/address
• Previous address if different
• NOTE: WHEN YOU COMPLETE THIS FORM, IT IS EASIER IF YOU HAVE
THE LAST FEDERAL TAX RETURNS AT HAND. 
4.   Schedule of Liabilities [SBA Form 2202] – list all notes, mortgages and accounts payable. Specific information needed:
• Name of Creditor
• Original Amount
• Original Date
• Current Balance
• Current or Delinquent?
• Maturity Date
• Payment Amount [month-year]
• How secured 
5.   Personal Financial Statement [SBA Form 413] information required:
•Assets
• Liabilities
• Income 
6.   Monthly sales [SBA Form 1368] – information needed:
• Monthly sales figures beginning 3 years prior to disaster and
continuing through the most recent month available
• If not in business for 3 years, complete estimate on page 2
• Add narrative as you see needed  

These are the ATTACHMENTS that will be needed:
1.  Complete copies of the most recent Federal Income Tax Return for the applicant [business]
2.  Complete copy, including all schedules, of the most recent Federal income tax return for principals. General partners or managing member, and affiliates.
3.  If the most recent Federal income tax return has not been filed, a year-end profit and loss statement and balance sheet for the year
4.  A current year-to-date profit and loss statement [within 90 days]
5.  Projections [possible]  

Resources: SBA Economic Injury Disaster Loan website: www.disasterloan.sba.gov/ela/MN State SBDC website: www.mn.gov/deed/business/help/sbdc/West Central MN SBDC website: www.westcentralmnsbdc.com 

Important Information Regarding COVID-19

Effective Tuesday, March 17, 2020, at 4:00 PM, our New Ulm and Lakeville lobbies will be closed until further notice. Admittance will be by appointment only. Drive-up and walk-up services will operate with normal hours.

New Ulm – 800-549-0194

Drive-Up hours: Monday – Friday: 7:30 AM – 5:00 PM. Saturday: 8:00 AM – Noon

Lakeville – 952-469-1919

Drive-Up hours: Monday – Friday: 8:00 AM – 5:00 PM. Saturday: 9:00 AM – Noon.

Lafayette & La Salle offices will have limited lobby services. Please call for an appointment.

Lafayette – 800-459-7563

La Salle – 877-308-9546

Amid ongoing concerns about the Coronavirus COVID-19, Citizens Bank Minnesota is closely monitoring the latest reports from the Centers of Disease Control (CDC) and the Minnesota Department of Health. We wanted to reach out and share a few of the ways we are here to serve you, our customer, during this time.
Putting our Customers First: As always, our focus is the safety and well-being of our customers, employees and the communities we serve. Our thoughts are with those who have been impacted. We stand ready to work with those experiencing financial difficulty as a result, and we are taking the necessary steps to avoid potential disruptions of service to our customers.
Precautions: We are working diligently to take precautionary measures to reduce the spread of the COVID-19 virus. With that in mind, Citizens has enhanced precautions to help promote customer and staff safety:

  1. Consulting our Business Continuity Plan and following pre-planned procedures. Our critical systems and staff that are essential to day-to-day operations are set-up to work remotely and securely in the event on any facility changes. Many non-essential, non-customer facing bank employees are also being asked to work from home.
  2. We are asking customers who desire personal or specific banker services to set up office appointments.
  3. Customers facing financial hardships as a result of COVID-19 should contact us to discuss their individual situation.
  4. Notifying staff that if they have participated in high-risk travel activities in the past seven days or are scheduled for high-risk travel, to communicate with Human Resources to work though necessary precautions.
  5. Canceling all planned staff business travel to non-essential conferences or meetings.

The Citizens Team: We will continue to monitor the situation and take actions to protect our staff while allowing business to be conducted safely at our locations.
To stay up-to-date, enroll in our text club by texting CITIZENSMN to 474747 or visit our Facebook page.
Alternative Banking Options: For your convenience and protection, we encourage you to access your account from home using our digital and telebanking services. We offer Online BankingMobile BankingMobile Deposit, and Telephone Banking. You can also drop off payments in our night deposit boxes.
The United States maintains a world-class payments system. Customers are encouraged to take advantage of their debit and credit cards when making purchases.
Don’t forget – our ATM locations take cash and check deposits.
If you have any questions or concerns, please contact us at 1-800-549-0194 or email us at customerservice@citizensmn.com .

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