For information regarding forgiveness for your Valley First PPP loan click here.
Paycheck Protection Program1
As part of the CARES Act, the Paycheck Protection Program (PPP) provides small businesses with funds to pay up to 24weeks of payroll costs including benefits. Funds can also be used to pay interest on business mortgages, rent, and utilities.
Small and medium-sized businesses with 500 or fewer employees, including sole proprietors, self-employed individuals and independent contractors. Tribal business concerns meeting the SBA’s published guidelines, as well as 501(c)(3) non-profits and 501(c)(19) veteran’s organizations also qualify. Businesses with more than 500 employees are also eligible in certain industries, including hotel and food service. (For more information, click here.)
Business loans can be up to 2.5X your average monthly payroll. Please note, 60% of the loan proceeds have to be used for payroll expenses in order to be considered for forgiveness. Total loan not to exceed $10 million.
Loans will have a fixed 1.0% rate for all businesses, with no payments until the SBA has remitted the forgiven amount. Payments will begin the month immediately following forgiveness remittance from the SBA. Loans will have a 5-year term.
1SBA loans are subject to SBA eligibility guidelines and availability of funds under the SBA program. Funds are limited. Information related to the SBA PPP loan may change as updates are provided by the Federal government. Financing maximums and terms are determined by borrower qualifications and use of funds. Valley First is not responsible for errors or omissions by Applicant in completing the application. Valley First does not have control over the time or order in which SBA will review loan applications. Valley First is not responsible for delays in processing resulting from high volumes of applications or the submission of applications that do not include required documentation. Please redact or do not include personal identifiers, such as names and social security numbers or tax identification numbers of employees, if you send information by email. Valley First and its representatives do not provide tax advice. Consult an advisor regarding a particular financial situation. Payroll costs include: salary, wages, commissions, tips, employee benefits, state and local taxes assessed on compensation, and for sole proprietor/independent contractor this includes wages, commissions, income, or net earnings from self-employment. APR = Annual Percentage Rate. Interest accrues from date of loan disbursement. Membership eligibility requirements apply. Membership requires a Business Share Account opened with an initial $25.00 deposit plus a $5.00 one-time membership fee, for a total of $30.00. New Accounts subject to ChexSystems.