PayCheck Protection Program

Payroll Protection Program - learn more below

  Available to Horizon Bank Business Customers Only

As a certified Small Business Administration (SBA) provider, Horizon Bank will continue to monitor how the CARES Act will be administered, along with specifics on the Paycheck Protection Program (PPP)

The PPP provides cash-flow assistance through 100% federally guaranteed loans to employers who maintain their payroll during this emergency. PPP has a host of attractive features, including forgiveness of up to 8 weeks of payroll, based on employee retention and salary levels, and no SBA fees, and at least six months of deferral with maximum deferrals of up to a year.

If you are a small business, sole proprietor, non-profit or church, we can support Horizon Bank customers you through the process from start to finish.

Contact one of our lenders today or email us at SbaGovLending@HorizonBank.com for assistance.

 Application Checklist - Download Checklist PDF

This program is only available to eligible business customers of Horizon Bank.

Payroll Protection Program

1. Small Business Administration Application Form 2483

2.  Payroll Documentation

  • IRS Quarterly 940, 941, or 944 payroll tax reports (2019 and 2020 if available)
  • Payroll Reports for the most recent 12 month period (for example 4/1/2019 – 3/31/2020) that shows a breakdown of the following information:
    • Gross wages
    • Vacation
    • Paid time off
    • Paid FMLA or Other Leave
    • Froup Healthcare Premiums paid under a group Health Plan. Include all employees and owners.
    • Retirement Plan Funding paid by company owners. Include all employees and owners. Include 401k plans, Simple IRA and SEP IRA
    • State and Local Taxes
  • 1099’s (if you are applying as an Independent Contractor) 

3.  Financial Statements
 

  • 2019 Corporate Tax Returns or 12/31/2019 Year-End Financial Statement including Balance Sheet and Income Statement (only required if tax returns are not available)

4. Individuals with Self-Employment Income who File a Form 1040, Schedule C (must be in operation on 2/15/2020)

  • 2019 Form 1040 Schedule C
  • 2019 IRS Form 1099-MISC detailing non-employee compensation received (Sch. C, box 7), invoice, bank statement, or book of record that establishes you are self-employed.
  • Provide a 2020 invoice, bank statement, or book of record to establish you were in operation on or around February 15, 2020.
  • Form 941 (or other tax forms or equivalent payroll processor records containing similar information) and state quarterly wage unemployment insurance tax reporting forms from each quarter in 2019 or equivalent payroll processor records, along with evidence of any retirement and health insurance contributions, if applicable. A payroll statement or similar documentation from the pay period that covered February 15, 2020 must be provided to establish you were in operation on February 15, 2020.

Additional information may be requested in the process of reviewing your application.

Preliminary Information regarding
SBA PPP Loan Forgiveness 

While the SBA has provided the PPP Forgiveness Form and instructions, final guidance and procedures are still pending.

In the meantime, we recommend the following best practices to prepare you for the Loan Forgiveness Process:

  • Ensure that all disbursements of the PPP loan are for eligible purposes including payroll, mortgage interest, lease expense, utilities, and the refinance of Economic Injury Disaster Loans (EIDL).
     
  • Maintain detailed list and supporting documentation for expenditures to support your use of loan funds and for the forgiveness application and prepare for any SBA audits of your loan.
     
  • Maintain detailed list and supporting documentation regarding the number of employees and their employment status.
     
  • Maintain documentation regarding any Economic Injury Disaster Loans, Advances and Grants, as these will be included in the forgiveness calculation. Please be advised that the amounts of EIDL advances and/or grants will be a reduction to the amount of forgivable PPP loan.