PPP Resources

Georgia Primary Bank thanks you for trusting us to process your Paycheck Protection Program (PPP) loan. As a community bank our goal is to serve our community and we did just that! Our staff answered the call and was able to approve over 465 PPP loans totaling more than $53 million!

The PPP Resources Page was created to help answer questions regarding loan forgiveness and any future PPP loans. For additional PPP information and updates, you may also visit www.Treasury.gov and www.SBA.gov.

PPP Second Draw

    Georgia Primary Bank began accepting PPPSD applications on Friday, January 15th.

    Due to heavy volume and recent program changes, our processing time has been extended. Your assigned PPP lender will send an email to request additional documents. PLEASE use the link within the email to upload the required supporting documentation.

    On January 19th, SBA released additional guidance (SBA White Paper) relating to documentation on maximum loan calculation. Per updated guidance, borrowers will need to provide the appropriate documentation to support revenue reduction of 25% or greater.

    1. Quarterly financial statements for the entity. If the financial statements are not audited, the Applicant must sign and date the first page of the financial statement and initial all other pages, attesting to their accuracy. If the financial statements do not specifically identify the line item(s) that constitute gross receipts, the Applicant must annotate which line item(s) constitute gross receipts.
    2. Quarterly or monthly bank statements for the entity showing deposits from the relevant quarters. The Applicant must annotate, if it is not clear, which deposits listed on the bank statement constitute gross receipts (e.g., payments for purchases of goods and services) and which do not (e.g., capital infusions).
    3. Annual IRS income tax filings of the entity (required if using an annual reference period). If the entity has not yet filed a tax return for 2020, the Applicant must fill out the return forms, compute the relevant gross receipts value (see Question 5), and sign and date the return, attesting that the values entered into the gross receipts computation are the same values that will be filed on the entity’s tax return.

    If you have questions regarding your PPP application please contact your PPP Lender directly. Your lender will be able to answer Treasury/SBA policy questions, however we are unable to provide any tax or accounting advice outside of written Treasury/SBA guidelines. We encourage our borrowers to contact their CPA, Bookkeeper or the local Small Business Development Center (www.georgiasbdc.org/locations) for help with technical questions.

    We continue to monitor all program changes and will notify you with pertinent information received from Treasury/SBA.

PPP Forgiveness

    All of our PPP borrowers should have received an email with instructions on how to start the PPP Forgiveness application process. Each email contained a secure link that gives you access to our platform, your PPP loan information and instructions on how to complete the SBA Forgiveness application.

Below is a recap of the PPP Forgiveness Program as of 12/04/2020:

    1. Georgia Primary Bank is unable to accept and process PPP forgiveness documents not submitted via our PPP forgiveness platform. Please use the link received via email to complete your PPP forgiveness application. Once completed and submitted back to Georgia Primary Bank, please allow 3-7 business days for review and processing. Your PPP lender will contact you with any questions or to request additional information.

    2. Treasury/SBA are now requiring a Loan Necessity Questionnaire for loans to borrowers and its affiliates with an original principal amount of $2 million or greater. If you have a loan or combined loans to affiliates over $2 million you will need to complete one of the following SBA Form 3509_For Profit or SBA Form 3510_Non Profit.

    3. Legislation is pending to correct the EIDL Advance and PPP loan conflict. As of now, the forgiven amount of PPP loans are being reduced by the borrower’s EIDL Advance, effectively turning a grant into a loan. Georgia Primary Bank has made a decision to not process PPP loans with EIDL Advances until after legislation is passed. Please contact your PPP lender if you have additional questions.

    4. Which Forgiveness form should you use? – For assistance, please answer the form eligibility questions listed on the forgiveness platform.

  • SBA Form 3508S – for use on PPP loans with a total loan amount of $50,000 or less, except for those borrowers that together with their affiliates received loans totaling $2 million or greater.
  • SBA Form 3508EZ – for self employed, sole proprietor, or independent contractors. Also for borrowers that did not reduce the salaries or wages of their employees by more than 25% and did not reduce the number of hours of their employees.
  • SBA From 3508 – to be used by any PPP borrower who does not meet the criteria for forms 3508S or 3508EZ.
    5. PPP loan level data was released to the public by the SBA on Dec 1. The information released by SBA included the name of each borrower and the amount of the PPP loan proceeds received. Please be cautious of vendors and/or marketing agencies contacting you trying to sell goods or services.

    6. If you have questions regarding your PPP application please contact your PPP Lender directly. Your lender will be able to answer Treasury/SBA policy questions, however we are unable to provide any tax or accounting advice outside of written Treasury/SBA guidelines. We encourage our borrowers to contact their CPA, their Bookkeeper or the local Small Business Development Center for help with technical questions.

    We continue to monitor all program changes and will notify you with pertinent information.

***The following information is based on current guidance from Treasury/SBA***

Paycheck Protection Program Flexibility Act

Highlights from Paycheck Protection Program Flexibility Act

  • The Act will extend maturity to 5 years for all loans made after June 5, 2020. Existing PPP loans may be modified at the agreement of both lender and borrower.
  • Changes restrictions on Use of Proceeds from 75/25 to 60/40 for payroll and non-payroll expenses. Borrowers must use 60% of PPP loan funds for payroll costs. As of now, Forgiveness is dependent upon at least 60% being used for payroll costs.
  • Extends the 8-week covered period to the earlier of 24 weeks or Dec. 31, 2020. Existing borrowers may not choose any other covered period; they must choose either 8 weeks or 24 weeks as their applicable covered period. Note: CARES Act restrictions apply throughout the 24-week covered period.
  • Extends deferral period on principal and interest payments. No payment is due until forgiveness determination is granted by SBA. The Act outlines that the deferral period will end on the date that the lender receives forgiveness payment from SBA.
  • The Act outlines rules for Forgiveness cutbacks. Borrowers are allowed to include in their FTE count employees terminated for cause or for whom an offer to rehire was made but refused. The Act also allows borrowers to avoid forgiveness cutback if they can document an inability to return to previous levels of business activity due to the need to comply with HHS, CDC, OSHA requirements or guidance.
  • Allows payroll tax deferment for PPP recipients.

Paycheck Protection Program Loan Forgiveness Application