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Paycheck Protection Program (PPP)

We are a preferred lender for SBA submissions for PPP loans for business customers.

Click here for exact language and full text of the CARES Act

Click here for Frequently Asked Questions about the PPP from the SBA.

Phishing Alert: Malicious Cyber Actor Spoofing SBA website

On August 12, 2020, the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency (CISA) issued an alert concerning an unknown malicious cyber actor sending phishing emails spoofing a Small Business Administration COVID-19 loan relief webpage. These emails include a malicious link being used for redirects and credential stealing.

The phishing emails have carried a subject line of “SBA Application- Review and Proceed.” The sender is identified as "disastercustomerservice[at]sba.gov." Clicking on this link in the email takes the phishing target to a spoofed SBA webpage and asks the target to “Sign in to Your Account.” The page captures the sign-in attempt and steals the target’s log-in credentials.

As your partner, we want to ensure you stay informed of the ever-changing threats like these in our environment. The alert can be found here and at https://www.cisa.gov/coronavirus. The authentic link to the Small Business Administration is https://www.sba.gov/

Important Information

Update as of 8/8/2020

As of August 8, 2020, the Small Business Administration (SBA) is no longer accepting applications for the Paycheck Protection Loan Program (PPP). We continue to anticipate further guidance from the SBA regarding the loan forgiveness process and encourage borrowers to stay abreast of evolving information. By law, businesses have 10 months from the end of their loan's covered period to complete an application for forgiveness. If you initiated a PPP loan with ANB, please contact your Banking Officer directly to discuss the process for preparing your Forgiveness Application for submission to the Small Business Administration (SBA).


Update as of 6/8/2020  - 9:00am

On June 5, 2020, Congress approved, and the President signed, the Paycheck Protection Flexibility Act. One of the key provisions is a change in the threshold for the amount of PPP funds required to be spent on payroll costs to qualify for forgiveness. Under the new rule, the amount spent on payroll to retain staff was adjusted from 75% to 60%. The PPFA is also tripling the time allotted for small businesses and other PPP loan recipients to spend the funds and still qualify for forgiveness of the loans. Current PPP borrowers can choose to extend the eight-week period to 24 weeks, or they can keep the original eight week period. New PPP borrowers will have a 24-week covered period, but it cannot extend beyond 12/31/2020. The provisions of the Paycheck Protection Flexibility Act (PPFA) will likely have a significant impact on the amount of loan forgiveness you receive. We encourage all clients with a PPP loan to stay informed as future guidance on this bill and the Paycheck Protection Program is released.

 PPFA Summary by McGill Law



How to Apply

Due to anticipated volume, ANB is only accepting applications from existing business customers at this time.

Please contact your Banking Officer to submit an application.

Please be advised that ANB cannot disburse loan funds until the SBA has processed and approved the loan application. There is significant demand and applications will be processed in a queue. Our lending teams are working tirelessly to support all clients wishing to take part in this program.



What documentation is needed for an application?


The application for Paycheck Protection Program (PPP) loans under Section 1102 of the CARES Act requires that Lenders collect payroll documentation to support the Applicant’s requested loan amount. At this time, please confirm the following documentation has been submitted with your application.

  • Copies of payroll tax reports filed with the IRS – including forms 940, 941, state income and unemployment filing reports for 2019 and the first quarter of 2020, if available.
  • Copies of payroll reports for each pay period in 2019 and what is available for 2020. Such reports should include gross wages including PTO, including vacation time and sick leave paid under FMLA.
  • Documentation reflecting the health insurance premiums paid by the company under a group health plan including owners of the company in 2019 and what is available for 2020. Copies of invoices are acceptable.
  • Documentation of all retirement plan funding by the employer for 2019 and what is available for 2020. This could include copies of work papers, schedules and remittances to the retirement plan administrator.



Who is Eligible?

Under the CARES Act, you are qualified if you are:

  • A small business with fewer than 500 employees
  • A small business in the accommodation and food services industries (NAICS Code 72) with more than one physical location, but no more than 500 employees at each location
  • A small business that otherwise meets the SBA’s size standard
  • A 501(c)(3) with fewer than 500 employees
  • An individual who operates as a sole proprietor
  • An individual who operates as an independent contractor
  • An individual who is self-employed who regularly carries on any trade or business
  • A Tribal business concern that meets the SBA size standard
  • A 501(c)(19) Veterans Organization that meets the SBA size standard

Additionally, some special rules may make you eligible:

  • If you are in the accommodation and food services sector (NAICS 72), the 500-employee rule is applied on a per physical location basis
  • If you are operating as a franchise or receive financial assistance from an approved Small Business Investment Company the normal affiliation rules do not apply


What can a PPP loan be used for?

Proceeds from these loans can be used for:

  • Payroll costs, including salaries, wages and commissions
  • Employee benefits including costs for vacation, parental, family, medical or sick leave;
  • Retirement benefits
  • Paid leave and severance
  • State and local payroll taxes assessed on compensation
  • Group health care benefits during periods of paid, sick, medical or family leave and insurance premiums
  • Payments of interest on any mortgage obligation
  • Rent
  • Utilities
  • Interest on any other debt obligations that were incurred before February 15, 2020.


How Much Can Be Borrowed?

Qualified applicants can borrow 2.5 times their 2019 average monthly payroll expenses, up to $10 million. Loans can be for up to two months of your average monthly payroll costs from the last year plus an additional 25% of that amount. That amount is subject to a $10 million cap. If you are a seasonal or new business, you will use different applicable time periods for your calculation. Payroll costs will be capped at $100,000 annualized for each employee.


What are the loan requirements?

Businesses must certify that the loan is necessary to continue to operate, retain employees, and/or make mortgage and utility payments. Businesses must also certify that they have not applied or received another 7(a) loan for similar purposes.

Other requirements include:

  • No Personal Guaranty
  • No Collateral Requirements
  • $0 Guaranty Fee


Are these loans forgiven?

A PPP loan will be forgivable if:

  • At least 60% of funds are used for payroll costs, including employee salaries, paid sick or medical leave, and insurance premiums. A borrower will not be denied forgiveness for the entire loan amount if less than 60% of the PPP loan is used for eligible payroll costs, although the forgiveness amount may be reduced.
  • The remaining funds up to 40% of the loan are used to cover other business expenses required to keep your business afloat, including mortgage interest and rent on agreements which were in force before February 15, 2020, and utilities if service began before February 15, 2020.

Forgiveness is based upon the employer keeping employees on the payroll or quickly rehiring employees and maintaining their salaries.


For the latest information on the PPP program, visit the Small Business Administration at www.sba.gov or www.coronavirus.gov