Paycheck Protection Program

Congress has extended and expanded the Paycheck Protection Program.  The deadline for applying to the SBA for an approval for a Paycheck Protection Program loan is now May 31, 2021.  Because it takes at least 10 days to prepare a loan for submittal to the SBA, the practical deadline to apply is about May 21, 2021.

A small business that previously obtained a PPP loan can now apply for second draw PPP loan.

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IMPORTANT:  To have your PPP application referred to Kinetic Credit Union for funding, please type the word "Kinetic" in response to Question 9 of the Initial PPP Application.

What is the Paycheck Protection Program?

The Paycheck Protection Program (PPP) is a U.S. Small Business Administration (SBA) federal loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. SBA will forgive loans if certain conditions are met and the loan proceeds are used for payroll, rent, mortgage interest, utilities, or other defined expenses.

Who can apply?

This program is for any small business with less than 300 employees (including sole proprietorships, independent contractors and self-employed persons), private non-profit organizations, and other organizations affected by coronavirus/COVID-19. Businesses in certain industries may have more than 300 employees if they meet the SBA’s size standards for those industries.  To have Kinetic Credit Union fund your PPP loan, you must be a member of the credit union. 

Will I have to pay back this loan?

The loan may be fully forgiven if 60% of the funds are used for payroll costs, interest on mortgages, rent, and utilities and you have not reduced your payroll by more than defined amount.

The purpose of this loan/forgiveness is to enable and encourage small businesses to protect their employees. Loan payments will be deferred for six months, and no collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees. 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.

How do I apply?

Click below to go to our application page to see what documents you need and get started on your application!

IMPORTANT:  To have your PPP application referred to Kinetic Credit Union for funding, please type the word "Kinetic" in response to Question 9 of the Initial PPP Application.