Eastern Michigan Bank is currently submitting Small Business Administration (SBA) “Paycheck Protection Program Loans” (“PPP”). You do not need to be a current customer and we do not have a minimum loan size. We are striving to serve small businesses, independent contractors, and minority-owned businesses in our community that may be overlooked by larger banks.
These PPP loans may be 100% forgivable depending on how a borrower uses the proceeds. If you would like a loan package, including information regarding the loan terms, or are ready for us submit your request to the SBA, please contact one of our lenders by calling 810-679-2500 or send us a message using our Contact Us form.
The program is currently accepting applications until March 31, 2021, however available funds may not last that long, so apply today.
Key loan eligibility details include:
A business must have less than 500 employees for first-time borrowers or 300 employees for borrowers seeking a second loan.
If you already received a loan in Round One, your business must show revenue declines of 25% or more in any quarter of 2020 as compared to the same quarter in 2019 to qualify for a second draw. Supporting documentation providing this revenue decline must be provided with the application.
The maximum loan amount equals the 2019 or 2020 average monthly payroll, multiplied by 2.5, up to a maximum of $2 million. For second draw loans, businesses with an NAICS Code starting with 72 (primarily operating in the food service and hospitality industries) can multiply their average monthly payroll by 3.5.
The loan proceeds must be spent between 8-24 weeks following receipt of the funds.
To obtain full loan forgiveness, at least 60% of the loan funds must be used for payroll expenses. The remaining loan funds may be used to pay rent, mortgage interest, utilities, worker protection expenses (such as PPE or other safety items related to the pandemic), supplier costs, property damage related to the 2020 looting and vandalism events, or other covered operational expenses.
To obtain full loan forgiveness, current employee and compensation levels must be maintained throughout the 8-24 week covered period following loan disbursement.
If you have additional questions about eligibility or the application process, please call us at 810-679-2500 or send us a message using our Contact Us form.
Eastern Michigan Bank is an SBA Preferred Lender.