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PPP

Bank of Cleveland is the largest issuer of Payroll Protection Program funds in Bradley County.

FIRST ROUND PAYMENT PROTECTION PROGRAM

Eligible Uses

Only the following uses of loan funds are eligible for forgiveness:

Payroll—salary, wage, vacation, parental, family, medical, or sick leave, health benefits; include documents verifying eligible cash compensation and non-cash benefits consisting of the following:
Payroll reports or account statements documenting the cash compensation paid to employees; Payroll tax filings (typically IRS Form 941); Income, payroll, and unemployment insurance filings to your State; and receipts, cancelled checks, or statements for any employer contributions to employee health insurance and retirement plans that you included.

Business Mortgage Interest—as long as the mortgage was signed before February 15, 2020; Include amortization schedule or history of the loan that was paid

Business Rent —as long as the agreement was in effect before February 15, 2020; Include copies of cleared checks and lease agreement in effect

Business Utilities—as long as service began before February 15, 2020. Include copies of the invoice paid, showing the address of service and corresponding cleared check. Include a copy of the February bill or invoice, in addition to items paid during the covered period.
 

Forgiveness
There are three PPP Forgiveness applications with instructions available. Choose the application that best fits your situation.
On the application of your choice, you will choose either 8 or *24 weeks covered period.
*If it took 12 weeks to exhaust your loan funds, your covered period will still be 24 weeks.

Form 3508S – This form is for applicants with a loan amount of $150,000 or less. Documentation for funds spent is required, but the certifications and calculations requirements have been modified and lessened for these loans.


Form 3508EZ – This form is use by most people that have not reduced the number of employees or wages during the covered period. If you can answer the certifications, you can use this form regardless of loan amount. Documentation is required, along with the calculations and breakdown of the use of funds shown on the form.


Form 3508 – This form is used by all other borrowers that will not fit into the requirements for the previous shorter versions of PPP loan forgiveness applications. Full documentation is required to process this request, including calculations used to arrive at the numbers you are submitting for forgiveness.


Forgiveness Period
If your loan was made on or after June 5, 2020:
Your loan forgiveness period is 24 weeks after your loan was disbursed or December 31, 2020, whichever of the two is earlier.
 
If your loan was made before June 5, 2020:
You may choose between an 8-week or 24-week loan forgiveness period. If you do not give us notice of your preference, your loan forgiveness period will be 24 weeks after loan disbursement or December 31, 2020, whichever is earlier.
PPP now allows certain eligible borrowers that previously received a PPP loan to apply for a Second Draw PPP Loan with the same general terms. Second Draw PPP Loans are available for small businesses with 300 or fewer employees that have seen a 25% loss of revenue in 2020. To receive the second draw loan, a business must have used the full amount of the first loan. The maximum second draw loan amount is $2 million. BOC is now accepting PPP Second Round applications.




The SBA’s Tennessee District Office has requested lenders invite business owners to attend a series of “Get the Facts on EIDL & PPP” webinars. Learn and ask questions about the Paycheck Protection Program (PPP), First and Second Draw Loans and the Economic Injury Disaster Loans for Covid-19 (EIDL). The webinars will take place every Monday & Friday until August 2021 from 11:00AM – 12:00PM CST. You can register here:
Recurring dates (January 25 – August 2021) - https://getthefacts2021.eventbrite.com
The application process is different from the Paycheck Protection Program. You will enter your own information into the SBA Restaurant Revitalization Award Portal. To begin, click on the button below. This portal will help you calculate your eligible award amount, monitor status, and interact with the SBA.
 
The decision to publish PPP borrower and loan information is a result of actions from Congress and the SBA and Treasury, which oversee, administer and are responsible for the program’s implementation, terms, and conditions. Bank of Cleveland has not and will not release this information and is not calling for its publication. For loans of $150,000 or more, the data released includes business names, addresses, NAICS codes, ZIP codes, business type, demographic data, non-profit information, jobs supported, lender name, and dollar ranges for loan amounts. Dollar amounts are being disclosed in ranges of $150,000-$350,000, $350,000-$1 million, $1 million-$2 million, $2 million-$5 million, and $5 million-$10 million. Loans of $150,000 and up account for nearly three-quarters of the dollar volume of PPP loans. For loans below $150,000, the agencies will not release business names but will report loan totals, aggregated by ZIP code, by industry, by business type, and by various demographic categories. The agencies have noted that PPP borrower applications disclose that this information could become public.