Congress and the President just approved a stimulus bill that will allow Small Business Loans for COVID-19 relief. Rockhold is currently working to become an approved lender for the new SBA Payment Protection Program loans for Small businesses. In the meantime, we’ve created a pre-application to start gathering data from you based upon the information we already have about the program.
These loans are going to be available to:
- Any small business concern, nonprofit, Tribal business, and even self-employed individuals.
- The business must not have more than 500 employees combined.
- The loan amount permitted is 2.5 times your monthly average payroll as calculated over the last 12 months. Up to a max of $10 million. So if your average payroll over the past year was $10K a month, your max loan would be $25K, $100K a month payroll, $250K max loan and so on.
- Allowable uses of the loan proceeds include payroll costs, rent, mortgage or other debt interest (not principal) and utilities.
- Loans are 100 percent guaranteed by the SBA.
- No personal guarantee is required.
- No collateral is required.
- There is a payment deferral of not less than six months and no prepayment penalty.
- The best part! These loans can be forgiven!
- To be eligible for forgiveness, loan proceeds must be used for the allowable items mentioned above.
- Loan amounts that are not forgiven have a maximum maturity of 10 years with an interest rate capped at 4 percent.
- MORE is coming, but fill out the pre-application on our home page to get your place in line with Rockhold. We want to work with you.
You’ll be hearing more from Rockhold as soon as the SBA releases their guidelines on all the specific information and documentation that is required.