Posts Tagged ‘ Small Business Administration ’

CARES Act – SBA Loan Assistance Information

**Please Note: The PPP application was updated late on 4-2-20. The updated link to the application, as well as an updated documentation link is listed below.

The programs and initiatives in the Coronavirus Aid, Relief, and Economic Security (CARES) Act that was just passed by Congress are intended to assist business owners with whatever needs they have right now. When implemented, there will be many new resources available for small businesses, as well as certain non-profits and other employers. The CARES Act Loan Guide provides information about the major programs and initiatives that will soon be available from the Small Business Administration (SBA) to address these needs, as well as some additional tax provisions that are outside the scope of the SBA.

How can we help?

Paycheck Protection Program

Citizens Bank Minnesota will be processing and approving your Paycheck Protection Program (PPP) applications. To be efficient, we will be accepting applications and documentation HERE.

Important Links:

**PPP Application – There were changes made to the application on 4-2-20. Updated link is listed below.

Application

Documentation List – If you have submitted these items to Citizens Bank Minnesota previously, we will provide them for you. If you have not submitted them to Citizens Bank Minnesota, they are required to complete the application.

Calculator

Regulations for the Payroll Protection Program

All PPP forms available HERE.

Economic Injury Disaster Loan and Grant

To apply for the Economic Injury Disaster Loan and the Emergency Economic Injury Grant, the application can be found at: https://covid19relief.sba.gov/ (This application does NOT go through Citizens Bank Minnesota.)

Here is a list of documents that you will need to provide to complete the application:

If you would like, we can send you the documents in a secure email.
For the fastest help with the application, watch the training, download the slide deck, or access these step-by-step instructions.

Let us know if you have any questions – we are here for you!
Citizens Bank Minnesota Lending Team

Questions? Please give us a call at 800-549-0194.

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 

Could you be a Successful Business Owner?

According to the U.S. Small Business Administration, sixty-three percent of Americans plan to work during retirement.  Many of these people are planning on starting their own businesses.  After all, a retiree can tap into a lifetime of experience when putting business ideas into action!

A great place to start weighing your decision to start a business is to sit down with one of Citizens Bank Minnesota’s business lenders.  We will listen to your ideas, and help you gather the information and resources you need to develop a sound business plan.  We also can direct you to mentors in our area like SCORE (a nationwide nonprofit association dedicated to educating entrepreneurs and helping small businesses start, grow, and succeed) or the Small Business Development Center (which provides financial counseling, marketing advice and management guidance).

And, if your business plan will require financing, we can help you with a small business loan.  Not to mention all the other financial tools an entrepreneur will need, like merchant credit card services, deposit accounts, cash management and internet banking, and remote deposit services.

Citizens can help you with your plans and dreams.  All you have to do is stop in and ask!

By: Julie Baumgartner, Vice President

Equal Housing Lender - larger

%d bloggers like this: