SBA Paycheck Protection Program (PPP)
Updated February 9, 2021
Mauch Chunk Trust is proud to have helped many local businesses through the PPP application process. We are pleased to announce we will now begin accepting Paycheck Protection Program applications through our new user-friendly online portal. The portal will provide step-by-step instructions to submit your forgiveness application and supporting documentation.
The deadline for submitting a PPP loan application is March 31, 2021 or until the program funds are depleted. Mauch Chunk Trust Company cannot guarantee any loan requests submitted via the MCT PPP Application portal (regardless of when submitted) will receive funding from the SBA, and a loan request may not constitute a completed application to the SBA.
The application portal is intuitive and will guide you through the process. You will have the option to save any progress you make and return to the portal to finish your application later, if needed.
We recommend that you watch this video prior to beginning your application.
You are eligible for a 2nd draw PPP loan if you can answer yes to the following questions:
- I have already received a PPP loan.
- I have used, or will use, the full amount of my PPP loan before disbursement of a Second Draw Loan.
- I used, or will use, the full amount of my PPP loan only for authorized uses as outlined in the PPP guidelines.
- I have no more than 300 employees.
- I do not plan to apply for or receive a Shuttered Venue Grant, under Section 324 of the Economic Aid Act.
- I can demonstrate a revenue reduction of 25% or greater in 2020 relative to 2019 by comparing quarterly gross receipts for one quarter in 2020 with gross receipts for the corresponding quarter in 2019. Alternatively, if I was in operation in all four quarters of 2019, I can demonstrate a revenue reduction or 25% or greater when comparing annual gross receipts in 2020 to annual gross receipts in 2019.
- Note: reduction in income must be verifiable through tax forms, quarterly financial statements or bank statements for both 2019 and 2020.
If you have immediate questions about the PPP, please email firstname.lastname@example.org.
Key PPP updates include:
- PPP borrowers can set their PPP loan’s covered period to be any length between 8 and 24 weeks to best meet their business needs;
- PPP loans will cover additional expenses, including operations expenditures, property damage costs, supplier costs, and worker protection expenditures;
- The Program’s eligibility is expanded to include 501(c)(6)s, housing cooperatives, direct marketing organizations, among other types of organizations;
- The PPP provides greater flexibility for seasonal employees;
- Certain existing PPP borrowers can request to modify their First Draw PPP Loan amount; and
- Certain existing PPP borrowers are now eligible to apply for a Second Draw PPP Loan.
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 authorized uses;
- Has no more than 300 employees; and
- Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.
The new guidance released includes:
- PPP Guidance from SBA Administrator Carranza on Accessing Capital for Minority, Underserved, Veteran, and Women-owned Business Concerns;
- Interim Final Rule on Paycheck Protection Program as Amended by Economic Aid Act; and
- Interim Final Rule on Second Draw PPP Loans.