Paycheck Protection Program (PPP) | Lead Bank

Paycheck Protection Program Round 1.0 Loan Forgiveness Application

Please contact your Lead Bank loan officer for your online Loan Forgiveness Application.

  • What is included in the loan forgiveness?
      The Paycheck Protection Program Flexibility Act, which became a law on June 3, eases restrictions on small businesses as they seek loan forgiveness under the Paycheck Protection Program authorized by the CARES Act.    
    • Reduces the amount of the PPP loan to be spent on payroll from 75% to 60%, thus increasing the amount of funds available for other business costs to 40%.
    • Extends the window businesses have to use the funds from eight weeks to 24 weeks or until December 31, 2020.
    • Pushes back a June 30 deadline to rehire workers to December 31, 2020.
    • Provides more leeway on loan forgiveness for business owners who show they could not rehire workers or reopen due to safety standards.
    • Extends the period for when a business can apply for loan forgiveness, from within six months to within 10 months of the last day of the covered period, before it must start making interest and principal payments. Under the new bill, PPP loan interest and payment of principal and fees will be deferred until the loan is forgiven by the lender.
    • Increases the amount of time recipients have to repay the loan by extending the loan terms for any unforgiven portions that need to be repaid from two years to five years, at 1% interest.
    • Allows companies that get loan forgiveness to defer payroll taxes.
    • Allows small businesses to take a PPP loan and also qualify for a separate, recently enacted tax credit to defer payroll taxes, which is currently prohibited to prevent “double dipping.”
  • What are the measures of loan forgiveness?
    • Gives flexibility for businesses who received the loan in the middle of pay period since businesses are now able to use an "alternative payroll covered period" for those with a biweekly (or weekly) payroll schedule over the 24-week period, and can elect to calculate "eligible payroll costs" using the first pay period after they got the PPP funds, per the application.
    • Allows borrowers to include payroll and eligible non-payroll expenses that were incurred (not only paid) during the eight-week period after receiving the loan, so long as they're paid on or before the following regular payroll date.
    • Provides an exemption from the loan forgiveness reduction for borrowers if they have made "a good-faith, written offer to rehire workers that was declined"—calming some businesses’ fears about trying (and failing) to rehire employees in time to receive full forgiveness for the loan.
    • Includes clarity on how to calculate "full-time equivalents" for employees, which is key for the forgiveness side of the loans.
    • Read the full U.S. Department of the Treasury PPP loan forgiveness application news release including additional measures here.
  • How long will the process take? Once we receive the completed application and all pertinent supporting documents, the process can take up to 60 days to review and approve. The application will then be forwarded to the SBA. The SBA has 90 days to approve or deny the request. 
  • How do I apply for loan forgiveness? 
      *If you do not meet the above criteria, then please use the regular standard form.
      Note: Borrowers who received a SBA PPP loan through Lead Bank should complete the PPP loan forgiveness form online. This sample form is for illustrative purposes only.  
  • Click here for a list of supporting documentations.
  • Click here to find more information on the Loan Forgiveness Interim Rule.

Paycheck Protection Program Loans Round 1.0

Your small business is important to you and to our communities. The Federal CARES Act is designed to support small businesses through this difficult time. The Paycheck Protection Program (PPP), signed into law on March 27, 2020, is part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which is nearly a $350 billion program intended to provide American small businesses with eight weeks of cash-flow assistance through 100 percent federally guaranteed loans, made by approved banks. The funding is meant to help retain workers, maintain payroll, and cover rent/mortgage/utility expenses. On July 4th, 2020, President Trump signed off to extend the date providing businesses another five weeks to apply for fund through the PPP. There is still about $130 billion in PPP funding available. This additional funding will allow small businesses previously unable to secure funds under the PPP an opportunity to obtain forgivable loans to keep employees on the payroll. The application deadline is now August 8th. 

How it works

  • Who’s eligible?  Small businesses including sole proprietors, independent contractors, self employed individuals, nonprofit organizations, tribal business concerns, and Veterans’ associations, that:
    • Employ 500 or fewer people except for in certain industries.
      • Click here for the applicable SBA employee-based size standards for those industries
    • Were in business on or before February 15, 2020.
    • Had employees to whom they paid salaries and for whom they paid payroll taxes.
    • Independent contractors, self employed.
    • You may review SBA business size and industry NAICS code standards that qualify a business for SBA programs here.

  • Who can make PPP loans?  Only SBA approved lenders, like Lead Bank, can offer these loans.


  • What does the loan cover?
    • Operating expenses, such as payroll, rent, lease payments, utilities, and mortgage interest obligations.
    • Payroll costs that may include wages, salaries, retirement contributions, healthcare benefits, insurance premiums, covered leave, and other expenses.
    • Interest on other debt obligations incurred before February 15, 2020.


  • How is the loan structured?  The amount of the unsecured loan can be 2.5x average monthly payroll (excluding independent contractors) up to a maximum of $10 million. No payments for first 6 to 12 months, loan forgiveness for qualifying expenses, and terms up to 10 years on remaining balance.