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Paycheck Protection Program

We are no longer accepting new PPP applications. If you have questions about other business lending needs, please contact David Broadaway at dbroadaway@memexcu.com.

What Is the Paycheck Protection Program?

Recently added as an SBA loan program, the Paycheck Protection Program (PPP) provides federally-guaranteed loans to eligible small businesses. Loans are the lesser of $10 million and a calculated amount based on payroll and may be forgivable. These loans are intended to help small businesses retain employees throughout and after the Coronavirus (COVID-19) crisis.

There have been additional funds approved for PPP loans. However, funding is still limited, so it is important to submit your application as soon as possible. It is not guaranteed that funding will be available for all qualified loan applicants.

Benefits of an SBA-Backed Paycheck Protection Program Loan
  • Interest Rate of 1.00% APR*
  • 2-year Term
  • Defer payments for 6 months
  • Loan forgiveness on qualified loans

Is Your Small Business Eligible for the Program?

The CARES Act has expanded the eligibility criteria for borrowers to qualify for a Paycheck Protection Program loan. Small businesses with 500 or fewer employees whose principal place of residence is in the United States–including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietorships, and independent contractors–are eligible. Businesses with more than 500 employees are eligible in certain industries.

How Can You Use Your Paycheck Protection Program Loan?

The loan may only be used for:

  • Payroll costs and employee commissions or similar compensations
  • Insurance premiums and group healthcare benefits during paid sick, family or medical leave
  • Mortgage interest payments (but not prepayment or payment of mortgage principal)
  • Commercial space rent and utilities
  • Interest on any other debt obligations incurred before January 31, 2020 and April 3, 2020
  • Refinancing SBA EIDL loan made between January 1, 2020 and April 3, 2020

What You Need to Apply:

The date you started your business

  • You need to have been in business on February 15, 2020

Documentation verifying your average monthly payroll costs

  • Payroll costs include salary, wages, commissions, or tips (capped at $100,000 on an annualized basis for each employee).
  • Employee benefits including costs for vacation, parental, family, medical or sick leave; an allowance for separation or dismissal.
  • Payments required for the provisions of group health care benefits including insurance premiums; and payment of any retirement benefit.
  • State and local taxes assessed on compensation.
  • For a sole proprietor or independent contractor: wages, commissions, income or net earnings from self-employment, capped at $100,000 on an annualized basis for each employee.


David Broadaway, VP Business Lending
Email: dbroadaway@memexcu.com
Phone: 601.923.4317