The Paycheck Protection Program is nearly over.
Funding for the bi-partisan Paycheck Protection Program has been exhausted. The SBA will continue funding outstanding approved PPP applications, but new qualifying applications will only be funded through Community Development Financial Institutions, like Greylock, who are financial lenders that serve underserved communities. If you still need to apply, please do so soon. This program could end at any moment.
Who can apply:
We are only accepting applications from businesses located in Hampden, Hampshire, Franklin and Berkshire Counties in Massachusetts; Bennington County, Vermont; and Columbia County New York. Priority will be given to current Greylock business members.
These potentially forgivable loans are available to new applicants as well as first draw recipients that have or will have used the full amount of their first loan prior to the distribution of their second loan.
The new round adds 501(c)(6) organizations, destination marketing organizations, housing cooperatives, newspapers, broadcasters and radio stations to the list of qualifying organizations and also includes the same types of organizations as allowed in the first draw of PPP funding.
A borrower is generally eligible for a Second Draw PPP Loan if the borrower:
- Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses;
- Has no more than 300 employees; and
- Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020
How much can you apply for in Draw 2:
- Up to 2.5x average monthly payroll costs up to $2 million (or 3.5 x average monthly payroll for businesses identifying as Accommodations and Food Service as reported on last filed tax returns)
- Expanded eligible expenses now include covered operations (software, cloud computing service that facilitates business operations, product or service delivery or other human resources and accounting costs), property damage due to public disturbances in 2020 (that were not covered by insurance), supplier costs and worker protection expenditures (PPE)
- SBA is authorized to guarantee loans under the PPP through May 31, 2021
Other changes from PPP Draw 1:
- Expenses paid with forgiven PPP funds are tax deductible
- Simplified loan forgiveness application for loans under $150,000
- EIDL Advances do not reduce the amount of eligible forgiveness under PPP
There are other programs available through the legislation that do not involve Greylock Federal Credit Union. Please speak with your trusted accountant or financial advisor to determine the most appropriate route for your business.
PPP Helpline: (413) 236-4041
Our business lenders are seeing a high level of inquiries coming their way. It may take a day or so for one of them to get back to you, so please be patient.
The new PPP focuses on small local businesses
We want to help as many local businesses as possible access this critical funding. These potentially forgivable loans are meant to keep your workforce and your businesses safe until we are able to move past the pandemic. Even if you received a Paycheck Protection Program loan in 2020, you may still qualify for a second PPP loan this round.
If you have submitted your application, chances are you have been contacted by a member of the business banking team. The team is hard at work securing approvals through the SBA. Due to the significant interest in the program, there may be a delay.
Once we have a loan approval, we will work to close your loan within ten (10) business days. We will send all documents to you electronically, so please keep an eye on your email. If you have questions about a submitted application, please call our PPP Helpline at 413-236-4041.
Thank you so much for your patience as we strive to get these funds out into our community as quickly as possible.
~Jodi Rathbun-Briggs, Senior Vice President, Chief Lending Officer
FREE Info Sessions
The Massachusetts Equitable PPP Access Initiative is planning workshops and webinars in English and Spanish for interested business owners. They have sessions scheduled every business day through the end of the month.