President Trump signed into law an economic relief stimulus package that offers approximately $2.2 trillion of assistance to American households and businesses affected by the Coronavirus pandemic, COVID-19. River City Bank is committed to helping you and your business navigate through these difficult times. Below is helpful information regarding the United States Small Business Administration (SBA) relief measures that are available for small businesses.
Paycheck Protection Program (PPP) for Small Businesses
The Paycheck Protection Program is a federal loan program that provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. Funds can also be used to pay interest on mortgages, rent, and utilities.
IMPORTANT UPDATE 4/24/2020: Congress has approved $320 billion in additional PPP funding. River City Bank is committed to supporting our businesses during this challenging time. We are accepting applications to the Paycheck Protection Program. If you are interested in the PPP program, please submit your information below and we’ll contact you with additional instructions for applying.
- REQUEST AN APPLICATION.
If you are interested in applying for a PPP loan, submit your information below. You will receive an email within 1-2 business days with the link to your unique PPP application within our secure portal.
IMPORTANT: All applications and required documentation MUST be submitted through the RCB DocuSign portal. DocuSign is a secure tool that allows users to upload, share, and sign documents electronically.
Review the SBA PPP application so you are familiar with the information requested and be prepared to quickly fill it out and electronically sign it within our secure portal.
Gather the required documents and save them electronically so you are ready to upload them. Review required documents list below. Acceptable file formats include PDF, DOC, JPG, PNG and GIF.
Once you receive the email from River City Bank with the link to your application, we encourage you to complete the application process as quickly as possible. Due to the funding cap, we need to review your information and get it submitted to the SBA right away. NOTE: Your application will not be processed until we have received ALL of the required documents along with the completed and e-signed application.
- Quarterly IRS forms 940, 941, or 944 for the following dates:
- March 31, 2019 and June 30, 2019
- March 31, 2020 and June 30, 2020
- Documentation in the form of canceled checks, payment receipts, and bank statements showing payment of the following items from 2/15/20 to 6/30/20:
- Mortgage Interest
- Rent payments
- Completed 2019 tax return OR 2019 Profit and Loss Report and Balance Sheet
- Payroll reports for 2019 and 2020 year to date showing the following by employee and/or officers:
- Gross wages
- Paid time off
- Paid vacation
- Pay for family medical leave
- State and local taxes (form 940, 941, or 944)
- 1099’s for independent contractors (if applicable)
- Documentation showing:
- Funds received in the form of an Economic Injury loan since 1/31/20
- Payments for group health care benefits including premiums paid in 2019 to 2020 year to date
- Payment of any retirement benefits paid in 2019 and 2020 year to date
ABOUT THE PROGRAM
Fully Forgiven. Funds are provided in the form of loans that will be fully forgiven when used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll). Loan payments will also be deferred for six months. No collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees.
Must Keep Employees on the Payroll—or Rehire Quickly. Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines, or if salaries and wages decrease.
All Small Businesses Are Eligible. Small businesses with 500 or fewer employees—including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietors, and independent contractors—are eligible. Businesses with more than 500 employees are eligible in certain industries.
PPP reference information
- U.S. Paycheck Protection Program Overview
- U.S. PPP Borrower Information Sheet
- Small Business Guidance & Loan Resources
- PPP Borrower Application
- The CARES Act Full Text
Economic Injury Disaster Loan
To apply for a COVID-19 Economic Injury Disaster Loan, click here.
In response to the Coronavirus (COVID-19) pandemic, small business owners in all U.S. states, Washington D.C., and territories are eligible to apply for an Economic Injury Disaster Loan advance of up to $10,000.
The SBA’s Economic Injury Disaster Loan program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing. The loan advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application, and this loan advance will not have to be repaid.
SBA Debt Relief
The SBA Debt Relief program will provide a reprieve to small businesses as they overcome the challenges created by this health crisis.
Under this program:
- The SBA will also pay the principal and interest of new 7(a) loans issued prior to September 27, 2020.
- The SBA will pay the principal and interest of current 7(a) loans for a period of six months.
scams & fraud alerts
In these unprecedented times, be alert for potential fraud schemes related to economic stimulus programs offered by the U.S. Small Business Administration in response to the Novel Coronavirus Pandemic (COVID-19). Fraudsters have already begun targeting small business owners during these economically difficult times. Be on the lookout for grant fraud, loan fraud, and phishing.
- SBA does not initiate contact on either 7a or Disaster loans or grants. If you are proactively contacted by someone claiming to be from the SBA, suspect fraud.
- If you are contacted by someone promising to get approval of an SBA loan, but requires any payment up front or offers a high interest bridge loan in the interim, suspect fraud.
- SBA limits the fees a broker can charge a borrower to 3% for loans $50,000 or less and 2% for loans $50,000 to $1,000,000 with an additional ¼% on amounts over $1,000,000. Any attempt to charge more than these fees is inappropriate.
- If you have a question about getting a SBA disaster loan, call 800-659-2955 or send an email to firstname.lastname@example.org.
- If you have questions about other SBA lending products, call SBA’s Answer Desk at 800-827-5722 or send an email to email@example.com.
- If you are in the process of applying for an SBA loan and receive email correspondence asking for PII, ensure that the referenced application number is consistent with the actual application number.
- Look out for phishing attacks/scams utilizing the SBA logo. These may be attempts to obtain your personally identifiable information (PII),to obtain personal banking access, or to install ransomware/malware on your computer.
- Any email communication from SBA will come from accounts ending with sba.gov.
- The presence of an SBA logo on a webpage does not guaranty the information is accurate or endorsed by SBA. Please cross-reference any information you receive with information available at www.sba.gov.
Report any suspected fraud to OIG’s Hotline at 800-767-0385 or online at, https://www.sba.gov/about-sba/oversight-advocacy/office-inspector-general/office-inspector-general-hotline.