Small businesses like yours are essential to the stability and health of our communities. As we work through this difficult time, we’re here to help keep your business strong.

EIDL Loan & EIDL Loan Advance

The SBA’s Economic Injury Disaster Loan (EIDL) Program provides small businesses with working capital loans of up to $2 million at a favorable interest rate and terms up to 30 years.  The SBA administers this program directly.  If you are interested in this opportunity, you can apply online with SBA.  Or, contact your lender to see if this program may fit into your financial plan.  Please note, SBA recently clarified that agriculture enterprises are eligible for EIDL.

The SBA also is offering an EIDL Advance, up to $10,000, in order to get cash in the hands of businesses who need it – potentially in 3 days or less.  This advance, if received, will not need to be repaid.  The advance may be limited to $1,000 per employee. Therefore, it appears that self-employed persons would be limited to $1,000 on an EIDL advance.  Any grant received will reduce PPP forgiveness eligibility.  For example, a $10,000 EIDL advance will reduce PPP loan forgiveness by $10,000.

Small businesses can obtain both an EIDL loan and a PPP loan, but the EIDL funds must be used for a different purpose than the PPP funds.

To apply for these programs, please see the SBA Website. Please note, this website changes often and currently needs to be updated due to Congress providing additional funds for these programs.  

Paycheck Protection Forgiveness

We continue to await clear guidance from the treasury on what documentation may be required to substantiate forgiveness.  See below link for a list of information we know today.

Loan Forgiveness FAQ

Paycheck Protection Program

The US Congress approved additional funds for the PPP. The SBA opened for a new wave of applications starting April 27.

What it does

The Paycheck Protection Program (PPP) provides eligible applicants*, including non-profits, sole proprietors, self-employed individuals and independent contracts, with loans to cover costs related to payroll expenses**, group health care benefits, utilities, rent, mortgage interest payments and interest on other debt incurred prior to 02/15/20. It excludes funds for working capital, renovations, equipment and inventory purchases.

What are the benefits

Your PPP loan comes directly from American State Bank, so you’re working with a local bank you know and trust.

More Information

Treasury PPP Website

How to Calculate your PPP Loan Amount

How to Apply

Contact your Loan Officer.

If you have any questions along the way, please contact us!

*Subject to program requirements. Must have 500 or fewer employees. Accommodation and food services businesses may have up to 500 employees per physical location. All loans subject to credit approval. Must apply by 06/30/2020. Typical Small Business Administration requirements of credit not available elsewhere, collateral and personal guarantee requirements not applicable.

**Payroll expenses include salaries, wages, cash or cash equivalent payments, vacation, parental leave, family leave, medical or sick leave, group healthcare benefits, retirement benefits and state or local taxes on employee compensation.