fbpx

Your business may be eligible for the Paycheck Protection Program, a $349 billion provision of the federal CARES Act. The program authorizes loans with a 1% interest rate (maturity of 2 years) that are guaranteed by the Small Business Administration (SBA). Business owners should prepare to apply as quickly as possible. See the Small Business Development Center at MSU’s webpage about this or the SBA’s info here.

Congress intended the Paycheck Protection Program to accomplish two fundamental goals: 1) help small businesses cover their near-term operating expenses during the worst of the crisis, and 2) provide a strong incentive for employers to retain their employees. In short, it is intended as a partial revenue replacement program to allow deeply affected businesses to hibernate through a period of severe disruption without making drastic changes to their footprint.

WHO IS ELIGIBLE?

  • Businesses and 501 (c)(3)s with fewer than 500 employees.
  • Businesses in the hospitality industry (hotels, caterers, restaurants, etc.); other franchises with fewer than 500 employees per location may also be eligible.

WHICH LENDERS OFFER THESE LOANS?

Are you a financial institution participating in this program? Email us today and let us know!

WHAT CAN THE LOAN AMOUNT BE USED FOR?

  • Payroll costs
  • Group health care benefits
  • Employee salaries
  • Interest on any mortgage obligation
  • Rent
  • Utilities
  • Any debt obligations incurred before Feb. 15

HOW MUCH CAN BE BORROWED?

The maximum amount is the lesser between $10 million or 2.5 times the average monthly payroll based on last year’s payroll.

HOW LONG WILL IT TAKE TO RECEIVE THE MONEY?

The SBA has authorized lenders to process, close and service loans without SBA approval, giving borrowers the means to invest in their business immediately.

WHAT IF A BORROWER CAN’T PAY IT BACK?

All payment on principal, interest and fees will be automatically deferred for six months. For businesses that retain their staff through June 30, a portion of the loan may be forgiven.

WILL THE ENTIRE LOAN BE FORGIVEN?

Any portion that is used to cover payroll costs, interest on mortgage, rent, utilities or existing debt obligations in the eight weeks following administration of the loan will be forgiven in full if the business retains staff through June 30.

HOW SHOULD A BUSINESS OWNER PREPARE TO APPLY?

  • Calculate the maximum amount you can borrow – 2.Sx your average monthly payroll for up to $10 million dollars.
  • Estimate your expenses for payroll, interest on mortgage, rent, utilities, and existing debt obligations between now and June 30. That level of expense is fully forgivable if you keep staff on payroll and don’t reduce standard pay by more than 25%.
  • If estimated forgivable expenses fall below the maximum amount you can borrow, apply for at least the amount that will be forgiven while considering any additional expenses you might incur.

View more about the Paycheck Protection Program from the SBA

You can contact Vanda Cullar with The Small Business Development Center at Midwestern State University here.

SBDC at MSU

You May Also Like:

Top 10 Reasons to Join Your Local Chamber

Top 10 Reasons to Join Your Local Chamber

"Why should I join the Chamber? What’s in it for me?” As the Membership Development Director, these are questions I hear all the time. I genuinely appreciate when the opportunity presents itself to not only provide an answer to questions like this but expand...

read more
Katie Britt Awarded PCED Certification

Katie Britt Awarded PCED Certification

ATLANTA, GA (March 11, 2022) – The Community Development Council is pleased to award Katie Britt, Vice President of Marketing, Wichita Falls Chamber, the certification of Professional Community and Economic Developer (PCED). The PCED designation is available to...

read more
Wichita Falls receives MSEEZ designation

Wichita Falls receives MSEEZ designation

U.S. Chamber Foundation’s Hiring Our Heroes Designates Wichita Falls as a Military Spouse Economic Empowerment Zone March 15, 2022 - Wichita Falls, TX -  The U.S. Chamber of Commerce Foundation’s Hiring Our Heroes (HOH), in partnership with Wichita Falls and the...

read more
New terminal, business park coming to Wichita Falls

New terminal, business park coming to Wichita Falls

by Texomashomepage/KFDX/KJTL - WICHITA FALLS (KFDX/KJTL) — Wichita Falls City Council gives the O.K. for a new general aviation terminal for private jets and school charter flights at the Wichita Falls Regional Airport. The resolution authorized the city manager to...

read more
Responding to an RFI: All cards on the table

Responding to an RFI: All cards on the table

When is the right time to place all cards on the table? It is a catchphrase hurled around in meetings, negotiations, or tournaments. A simple expression written, spoken, or recommended in any industry through the negotiation process. When an inquiry or RFI (request...

read more

Explore The Falls

Our city is filled to the brim with entrepreneurs, families of all ages, young professionals, college students, military families, airmen in training, and artists! We invite you to take a stroll to the Falls, walk the historic downtown to see the renowned World's Littlest Skyscraper and dine on local cuisine. We know you'll fall in love with Wichita Falls.

Membership Investment

Your investment in your Chamber comes with tangible benefits, from business and professional development to relationship-building opportunities. In addition, your investment continues to support Chamber programs and initiatives that positively impact business’s quality of life. We offer a range of investment options that align with your business objectives. We hope you see the Chamber as an extension of your business and allow us the opportunity to learn more about your challenges as well as successes.

TOP INVESTORS