Update - 1/14/2021
We have received information from the SBA on timing of PPP phase 2 loan applications. We will start accepting applications for PPP phase 2 loans from any current Investors Community Bank customer as follows:
- First draw (new) and Second draw PPP loans: Tuesday, January 19, 2021
- First draw (increase) PPP loans: Monday, January 25, 2021
Watch for continued updates on this page. If you currently are not a customer but would like information on applying, contact one of our bankers:
PPP Loan Forgiveness Application Information
Thank you for your trust in Investors Community Bank during the PPP loan application process. If you are ready to apply for forgiveness for your PPP loan originated between April – August 2020 please use the link below to have your PPP loan considered for forgiveness by the U.S. Small Business Administration.
If you have any questions about the application process, please contact your banker for assistance.
Need technical support?
Contact Lindsay Wiesner via email or call (920) 686-5642 or Karl Spaay via email or call (920) 686-5676 - OR click here to schedule an online appointment for PPP forgiveness application technical support.
***Please watch the demo video below before beginning your loan forgiveness application.***
Important Message on Release of Public Data on PPP Borrowers
On December 1, 2020, the Small Business Administration released public data about Paycheck Protection Program borrowers—specifically, the borrowers’ names, addresses, exact loan amounts and who their PPP lenders were. This was done by court order following lawsuits brought by media organizations seeking the data.
We want you to know that Investors Community Bank did not publicly disclose the data and played no role in the court decision. Our commitment to protect your privacy is paramount, and we follow all applicable laws and regulations.
Unfortunately, we have heard that some third party businesses are using information from the court-ordered data release to market themselves to PPP customers. These communications may reference our bank’s name and may even imply that we have some kind of relationship. You should be aware that we will communicate directly with you about your PPP loan and the forgiveness process. If you have any concerns or questions, please contact your business banker, ag banker, or treasury management representative.
As always, our commitment is to your business’s financial health. Thank you for your ongoing partnership.
PPP Loan Updates Based On New SBA Interim Final Rules
On December 27, 2020 the President signed a new pandemic relief bill (known as the Economic Aid Act) that authorized a number of changes and new provisions for additional relief under the SBA Paycheck Protection Program (PPP) loan program.
Small business owners may be able to take advantage of these new provisions in a number of ways as follows:
Eligibility for receiving a PPP loan is now loosened up in several ways so businesses that didn’t qualify before, may now. Some ways this may be possible include:
- Several industries got added, such as specific news and broadcasting organizations, certain hospitals, electric, telephone and housing co-ops, certain legal gaming businesses, 501(c) (6) organizations, etc.
- Farmers who are sole proprietors or self-employed and file a 1040 Schedule F can now qualify based on gross Schedule F revenue rather than net. For many farmers who had no net income in 2019, they likely can qualify now. Partnerships are not eligible for this treatment. Others who have employees may be able to qualify for an increased amount based on these new rules as well.
The new rules allow for the possibility a borrower who received a PPP loan under the first PPP program may be eligible to get an increase if their first PPP loan hasn’t been forgiven yet. Examples where this might be possible include:
- Certain seasonal employers now have more flexibility in determining the base period to use in their payroll calculations, which could result in an increase to their PPP qualifying amount.
- If a round one PPP borrower returned part or all of their round one PPP proceeds, they can apply to get them back if they now qualify for more than they got originally
- In addition, there’s been an expansion of permitted purposes for PPP covered. The new law adds four more “allowable uses” of PPP covered loans (which are retroactively effective except if a borrower already received forgiveness) to include the following:
- “Covered operations expenditures”
- “Covered property damage costs”
- “Covered supplier costs”
- “Covered worker protection expenditures”
- However, the 60/40 ratio of payroll vs. non-payroll costs remains.
PPP Second Draw Loans
The new law creates a new structure where certain borrowers that already received a PPP loan are able to request a second loan subject to very specific terms and conditions as follows:
- Any business concern, nonprofit organization, housing cooperative, veterans organization, tribal business concern, eligible self-employed individual, sole proprietor, independent contractor, or small agricultural cooperative that— employs not more than 300 employees and
- Had gross receipts during the first, second, third or, only with respect to an application submitted on or after January 1, 2021, fourth quarter in 2020 that demonstrate not less than a 25 percent reduction from the gross receipts of the entity during the same quarter in 2019. The options are to use a quarterly or annual period.
- The law further describes a narrow set of additional entities that may be eligible and delineates several that are specifically ineligible.
- The maximum loan amount for these second draw PPP loans varies based on the type of business applying. In general, the maximum loan amount is the lesser of 2.5 times the average total monthly payment for payroll costs incurred by the eligible entity during the one year period before the date on which the loan is made (or at the election of the eligible entity, calendar year 2019); or $2,000,000.
- For seasonal employers, the maximum loan amount is the lesser of, at the election of the eligible entity, 2.5 times the average total monthly payments for payroll costs incurred by the eligible entity for any 12-week period between February 15, 2019 and February 15, 2020; or $2,000,000.
- The maximum amount of a covered loan made to an eligible entity that is assigned a North American Industry Classification System (NAICS) code beginning with 72 (generally hotels and the food service sector) at the time of disbursal is the lesser of 3.5 times the average total monthly payment for payroll costs incurred by the eligible entity during the 1-year period before the date on which the loan is made (or at the election of the eligible entity, calendar year 2019); or $2,000,000.
Other Important PPP Changes
- The new law repeals the language in the CARES Act that caused borrowers that received both an EIDL advance and a PPP loan to not receive full forgiveness of the PPP loan. This provision is retroactive; however, at this time it is unknown how SBA will handle reimbursing borrowers where forgiveness decisions have already been made. SBA’s API vendor updated its software on Dec. 29, 2020 to stop the EIDL deductions from occurring. The agency expects to address retroactive payment of previously deducted EIDL advances in forthcoming guidance.
- The new law provides tax relief for borrowers on forgiven PPP loans by overriding Treasury/IRS guidance that disallowed the deductibility of qualified expenses related to the forgiveness.
- The borrower has more flexibility to choose the covered period as any period between 8 and 24 weeks after loan fund disbursement.
- This new PPP program will be available until March 31, 2021 or whenever funds run out, whichever comes first.
- There are provisions for a new one-page simplified forgiveness application going forward for PPP loans less than $150,000.