The Small Business
Administration’s
Paycheck Protection Program (PPP)
The Small Business
Administration’s
Paycheck Protection Program (PPP)
Updated 5/5/2021
Bank of the Sierra can no longer accept Paycheck Protection Program (PPP) loan applications because funding for the program is no longer available. According to the Small Business Administration, the program’s funding has been exhausted for most financial institutions.
Based on revised guidance released by the SBA on March 3, 2021, self-employed individuals who file IRS tax Form 1040, Schedule C may calculate their maximum loan amount using GROSS income. Prior to the guidance, the loan amount was based on payroll costs plus net profits. This change is designed to increase the loan amounts for some small business owners. (Please note that borrowers whose PPP loan has already been approved as of the effective date of this guidance cannot increase its PPP loan amount based on the new calculation methodology.) The guidance also removes the eligibility restriction that prevents businesses with owners who have non-financial fraud felony convictions in the last year from obtaining PPP loans, and removes the eligibility restriction that prevents businesses with owners who are delinquent or in default on their Federal student loans from obtaining PPP loans.
The Small Business Administration’s Paycheck Protection Program has provided essential relief to businesses affected by the pandemic by offering low-interest, forgivable loans to eligible borrowers through approved lenders like Bank of the Sierra.
An additional round of funding for the PPP was made available through the Consolidated Appropriations Act passed by Congress at the end of 2020. Bank of the Sierra is participating in this new round of PPP loans to help small businesses in our communities.
Business customers with any questions should email the Bank’s dedicated lending team at PPP@bankofthesierra.com.
Manage your money on the go with these resources.
Important Disclaimer: Bank of the Sierra wants to support our business customers by providing information and reminders about the Paycheck Protection Program (PPP), which are based on guidance from the Small Business Administration (SBA). Please note that the information we provide is for informational purposes only. We are not guaranteeing its accuracy. We are not endorsing the program nor providing business, legal, or tax advice. There are still uncertainties about the program, and the SBA is expected to release additional guidance. Current information can be found on the SBA’s Paycheck Protection Program webpage.
