CARES Act Preparation, from Citizens State Bank
Statement from Citizens State Bank
The CARE Act of 2020 was signed into law late Friday night. There are still A LOT of questions about this program. Today, one of the President’s Economic Advisors indicated the SBA would be ready to “process” these applications this Friday, April 3, 2020. THAT IS NOT CERTAIN, just an ESTIMATE at this time.
As we understand it, there will be an attempt at some “Technical Corrections” that need to be addressed in the law and then the SBA will be issuing “Guidance” on the program. When we receive the “Guidance” from the SBA, we hope most, if not all of the many questions will be answered. So stay tuned for an update from us on that.
Attached is a “Checklist” of items that we believe as of this date will be needed for the Borrower to submit in order to process and seek approval for the loan application. THIS IS SUBJECT TO CHANGE! We like you are getting many inquiries about this program, and wanted to get in your hands to pass along to borrowers to begin gathering this information.
The only thing you need to do, is select entity Type in the highlighted cell, and the cell below it will provide further documentation requirements for that specific type of entity.
In addition, begin gathering payroll records. We have found if you can get them in an “excel” or some similar type of format, that is better to work from than a PDF.
The simple loan amount will be based on the last 12 months Average GROSS Payroll including benefits times 2.5 or $10 Million, whichever is less.
We can assist you with an estimated projected loan amount, just provide or have that information provided to us.
Do not hesitate to reach out with questions and we will continue to update you, as we know more.
Additional attached resources:
VP/Commercial Relationship Manager
O 317-844-5191 ext 7712