April 9, 2020
Businesses can borrow up to 2.5 times their average monthly payroll from the previous year, with a cap of $10 million per business. It’s important to note that payroll costs are capped at a maximum $100,000 salary per employee. The Small Business Association (SBA) intends for this loan amount to cover 8 weeks of payroll expenses and any additional amounts for making payments towards debt obligations. Interest rates for loans under the PPP are currently set at a 0.5% fixed-rate with a two year term.
The Paycheck Protection Program is new to all of us and the amount of information being thrown at you can feel overwhelming. We’ve broken down everything you need to know about this program at https://www.firstunited.bank/business/lending/paycheck-protection-program/. In addition to more information, you can also find and submit a brief form and a First United Bank lender will reach out to you quickly and directly to get you the help you need.