SBA PPP Loan Options for New and Returning Borrowers
Borrowing Again is limited to $2 million per borrower and the requirements to receive the loans have additional points they must prove.
Borrowers can apply for a Second Draw PPP Loan until March 31, 2021, through any existing
SBA 7(a) lender or through any federally insured depository institution, federally insured credit
union, eligible non-bank lender, or Farm Credit System institution that is participating in PPP.
All Second Draw PPP Loans will have the same terms regardless of lender or borrower. A list
of participating lenders as well as additional information and full terms can be found HERE.
The Bank Welcomes NEW borrowers and non-current customers to apply
Financial Relief is Still Available
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
• Previously received a First Draw PPP Loan and will or has used the full amount only for
• Has no more than 300 employees; and
• Can demonstrate at least a 25% reduction in gross receipts between comparable quarters
in 2019 and 2020.
How To Get Started
Process Basics – This is a 3 Step process:
- Step 1: Borrower submits the application to the bank via thought the banks application portal. https://ubtmn.lenderscooperative.com
- Step 2: UBT will review the application, ensuring it is complete and recommend to the SBA a forgiveness decision based on the program criteria and submitted application.
- Step 3: The SBA will review the submitted application and recommended decision from the lender (UBT) and they can either agree with that recommended decision or change the decision. They have up to 90 days to review the application once it is submitted by the bank to the SBA.
To begin the SBA Loan Forgiveness Application process have the following information ready.
Have your SBA Loan number and EIN number that was on the SBA PPP application ready as you will need this to start the process.
Have payroll information, rent/mortgage payment information, utility information and any other documents you will be using for submitting the application. There will be a feature to upload these electronically as part of the application.
Have the original number of employees that you used when you applied and the current number of employees.
If you received an EIDL loan/advance from the SBA please contact your banker at UBT. These loans if still outstanding at the start of the forgiveness process will be deducted from any forgiveness amounts that get approved.
Loan Amount and Entitlement
Increased Assistance for Accommodation and Food Services Businesses
For most borrowers, the maximum loan amount of a Second Draw PPP Loan is 2.5x average
monthly 2019 or 2020 payroll costs up to $2 million. For borrowers in the Accommodation and
Food Services sector (click HERE for NAICS 72 to confirm), the maximum loan amount for a
Second Draw PPP Loan is 3.5x average monthly 2019 or 2020 payroll costs up to $2 million.
Access For All
SBA continues to call upon its lending partners, including Community Development Financial
Institutions (CDFIs) and Minority Depository Institutions (MDIs), to redouble their efforts to
assist eligible borrowers in underserved and disadvantaged communities. At least $25 billion is
being set aside for Second Draw PPP Loans to eligible borrowers with a maximum of 10
employees or for loans of $250,000 or less to eligible borrowers in low- or moderate-income
neighborhoods. To promote access for smaller lenders and their customers, SBA will initially
only accept Second Draw PPP Loan applications from community financial institutions starting
on January 13, 2021. The PPP will open to all participating lenders for Second Draw PPP
Loans shortly thereafter.
How We Help
Union Bank and Trust (UBT) has opened its SBA PPP loan forgiveness application portal as of today – 8 Oct 2020. We have partnered with Holtmeyer & Monson (H&M) one of the largest SBA Service Providers in the country to help with the banks SBA forgiveness applications process. To make this process more efficient for our clients of the SBA PPP program the bank and H&M have developed an online application processing portal. This portal will help the application process, reduce errors and make the whole process more efficient. This email contains the link to submit your application and basic instructions.