Paycheck Protection Program (PPP)

  • The Federal Government recently allocated additional funding to reopen the US Small Business Administration (SBA) Paycheck Protection Program (PPP). While applications may not be submitted until the Program rules are finalized by the SBA, there are steps you can take to prepare. Get a head start now by completing a preliminary application at the link below.

    Start Pre-Application

  • Once you complete the preliminary application, you will begin to receive notifications with program updates and useful information to help ensure that your application can be completed and submitted to the SBA.

  • Please note the information on this page as well as the required information in the preliminary application are subject to change pursuant to guidance published by the SBA. In addition, approval during a previous round of the Paycheck Protection Program does not guarantee approval during the next round of the Program. Eligibility and availability are determined on a case-by-case basis by Cross River Bank and subject to guidance published by the US Small Business Administration.

FAQs

Please be advised that the program requirements are subject to change prior to going live as established by SBA regulation. The below highlights of the new program and FAQs are meant to be a non-exhaustive overview and provide applicants only with basic information.

Yes, providing the requested information and filling out the first two pages of the application will assist in streamlining the application process ahead of time. By beginning to submit basic information for the application now, applicants will have more time to prepare for and focus on other steps of the application process prior to the launch of the PPP.

Upon completing the initial two pages, applicants will receive an email confirmation along with a unique link to their application to pick up right where they left off when the SBA officially launches the program.

No, submitting the requested information does not automatically approve an applicant's PPP Round B loan nor does it guarantee the applicant's loan will be approved once the program is officially open. By starting an application now, applicants are providing us with some of the required information about themselves and their business that we know will be required for the next round. There are still additional requirements which must be submitted and approved by the SBA, including but not limited to, payroll calculations, tax forms, and e-signatures in order to submit a completed application for consideration to receive a PPP Round B loan.

Providing this information only assists in beginning the initial stages of the application process to help save time once the program is officially open. Providing this information will not automatically result in an approval decision of an applicant's loan.

No, once applicants provide the requested information and fill out these first pages, they will be able to start the remainder of their application once the SBA begins accepting applications and has made the rest of the application requirements public. Applicants will receive an email once the program is officially open with a link that will return them to their application for completion and submission.

Once they have completed the pre-application, applicants will receive an email confirmation containing a unique link to their application where they will have the opportunity to make changes to the information initially entered as well as continue the application once the SBA beings to officially accept PPP Round B applications.

At this time the SBA has not officially opened the program and lenders are waiting for the Agency to release further guidance. The additional guidance will provide borrowers and lenders with additional details necessary to complete a final application. Once the program officially opens, you will be able to complete the final part of your PPP loan.

By starting an application now, applicants will be automatically signed up to receive email communication once the program is officially open and the rest of the application becomes available.

Yes, the program will be open for both first-time borrowers and borrowers looking for a second loan. Please note that the requirements for first-time borrowers and second time borrowers are different. Continue reading below for a non-exhaustive list of eligibility requirements and other helpful information. Please be advised that qualifying as an eligible business does not guarantee a PPP loan will be offered.

In addition to the businesses that were eligible in the initial round of PPP (including but not limited to small businesses, nonprofit organizations, veterans organizations, Tribal business concerns, small agricultural cooperatives that meet the SBA size standards, sole proprietors, self-employed individuals or independent contractors), during this round the program includes entities that are 501(c)(6)s, destination marketing organizations (DMOs), housing cooperatives, newspapers, broadcasters, and radio stations. Additionally, for first-time borrowers to qualify for eligibility, the entity may employ no more than 500 employees.

In order to be eligible for a loan, first-time businesses must have been in operation on February 15, 2020.

The absolute maximum cap on loans (both first-time applicants and second draw borrowers) for PPP is $2,000,000. In your application you will be requested to submit certain documentation as proof of eligibility that will determine the amount your business is eligible for under the program. Please be advised that borrowers are not guaranteed the full amount requested in their application.

In addition to the expenses that were eligible under the previous round (payroll, rent, covered mortgage interest and utilities), both first-time applicants and borrowers applying for a second draw may also use their PPP loan to cover the following expenses: covered operations (software, cloud computing, and other human resources and accounting needs); property damage costs due to public disturbances that occurred during 2020 that are not covered by insurance; covered supplier costs; and covered worker protection expenditures and personal protective equipment (PPE) to help a loan recipient comply with federal, state or local health guidance including requirements issued by the CDC, OSHA, HHS and state or local governments.

Eligible businesses that received a prior loan must:

  • Have 300 or fewer employees,
  • Have sustained a 25 percent drop in revenue in any quarter of 2020 when compared to the same quarter in 2019, and
  • A borrower must have used the full amount of its first PPP loan to apply for a second.

Yes, seasonal employers are eligible for PPP loans. Seasonal employers are defined as businesses that do not operate for more than seven months in a calendar year or earned no more than one-third of their receipts in any six months in the prior calendar year.

The following businesses are NOT eligible to receive PPP loans:

  • Entities listed in 13 C.F.R. 120.110 and subsequent regulations except for entities from that regulation which have otherwise been made eligible by statute or guidance, and except for nonprofits and religious organizations;
  • Entities involved in political and lobbying activities including engaging in advocacy in areas such as public policy or political strategy or otherwise describes itself as a think tank in any public document;
  • Entities affiliated with entities in the People's Republic of China;
  • Registrants under the Foreign Agents Registration Act; and
  • Entities that receive a grant under the Shuttered Venue Operator Grant program.
  • Publicly traded companies

Cross River continues to provide responsible access to credit for businesses in need.

Born in the aftermath of the 2008 financial crisis, Cross River was established with the goal of providing financial resources to businesses and consumers in need. Cross River combines the trust and reliability of a community bank with the cutting edge innovation of a technology company to offer small businesses the banking and technology services they need in the timely fashion they need it. During the initial round of the PPP, Cross River Bank was one of the leading lenders in the country.

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