Update - April 29, 2020
Round 2 of the SBA Paycheck Protection Program (PPP) loan applications started Monday, April 27th and was a pretty tough going at first! However, the dedicated team at German American State Bank was able to get our entire pipeline of PPP loans approved! So far in round 2, we have processed more than 30 loans for nearly $1 million to maintain more than 150 small business and farm jobs. We now have done over 110 loans for about $5 million!!! It has been an incredible effort for our farm and business clients and their survival. It should help out over 600 employees of local farms and businesses keep their jobs and keep our communities thriving.
Loan Program Details
German American State Bank is committed to helping our small business customers navigate through this uncharted time together. We are happy to provide you with the information we currently have on the Paycheck Protection Program. Please understand we are still learning more details about this program as more information is provided by the SBA.
The 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 (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 German American State Bank will charge a small businesses enrolled in this program any fees.
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.
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.
Please note that at the present time, due to an excessively high volume of demand for this loan program, German American State Bank does not have access to the SBA online portal for submitting loan applications under this program. We are diligently working with the SBA to obtain online access. In the meantime, we encourage you to complete an application and provide us with the documentation we need to support your loan request. Thank you for your patience and understanding!
When to apply?
Now! We encourage you to submit your application soon before funds run out again!
How to apply?
Please review the below information and submit the application and required documentation to your current loan officer. If you do not have a loan officer, please call (815) 362-2310 to be assisted.
Need Assistance? Contact one of our commercial loan officers listed below!
To request a Paycheck Protection Program Loan Calculation Worksheet, please contact Tayler at (815) 239-1700 or [email protected]
* The Paycheck Protection Program is implemented by the Small Business Administration with support from the Department of Treasury. Borrowers can also visit www.sba.gov or www.coronavirus.gov for more information.