Here at Western Vista, we know that small business is the life blood of any community and economy. During these extraordinary times, we want you to know that we are here to support our member businesses and help as much as we can through this difficult time. We have been in existence for 80 years and have the experience and financial strength to help our business members for years to come.
There is a lot of information circulating out there about the new SBA programs designed to help businesses during this time. In addition to our regular commercial loan and lines, we want members to have as much information as possible to navigate through what pandemic disaster related loans are available.
Economic Injury Disaster Loan (EIDL)
You do not need to be a member of Western Vista Credit Union to be eligible. Applications are made directly to the SBA Disaster Service Center.
This working capital loan program is intended to help small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the outbreak of COVID-19. This low-interest loan provides the necessary working capital to help small businesses survive until normal operations resume after a disaster. The loan amount will be based on actual economic injury and working capital needs and determined by the SBA loan officer after discussing the business situation with the owner. Included with the EIDL is an advance of up to $10,000. This advance may be available even if you are declined and the advance will be forgiven. Please see the SBA EIDL program details for additional details.
Detailed financial information is not required at the time of the EIDL application. There is no fee to apply and small business does not have to accept the loan if approved. Once submitted, an SBA loan officer from the Disaster Service Center will contact the applicant. The interest rate is 3.75% (2.75% for non-profits), the term can be up to 30 years and the first payment is deferred for 1-year.
Paycheck Protection Program (PPP)
You must have a business account with Western Vista Credit Union in order for us to process your request. Membership is easy. Here is a checklist of information required to open an account. To apply for the SBA PPP through Western Vista, please review the information below.
On March 31, 2020, the CARES act was passed, allowing the U.S. Department of the Treasury, in conjunction with the SBA and its partnering lending organizations (such as Western Vista FCU), to offer access to the Payment Protection Program (PPP). The interim final ruling released on April 1 provided new information about applicant eligibility and qualification requirements for the PPP.
The Paycheck Protection Program (PPP) now allows certain eligible borrowers that previously received a PPP loan to apply for a Second Draw PPP Loan with the same general loan terms as their First Draw PPP Loan. Second Draw PPP Loans can be used to help fund payroll costs, including benefits. Funds can also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations.
SBA is reopening the Paycheck Protection Program (PPP) for First Draw Loans the week of January 11, 2021. First Draw PPP Loans can be used to help fund payroll costs, including benefits. Funds can also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations.
The following links provide a comprehensive overview of the program:
- Top-Line Overview of First Draw PPP Loans(Released 1/8/21)
- Top-Line Overview of Second Draw PPP Loans (Released 1/8/21)
- U.S. Department of the Treasury overview of the program
- U.S. Department of the Treasury program information and updates
Western Vista is accepting applications for the SBA PPP. As with any new government guaranteed loan program, the SBA is still continuing to issue guidance on the forgiveness portion of the PPP. As the CARES Act currently stands, there is $350 billion allocated nationally for this plan through June 30, 2020. We expect the demand for this loan program to be very high.
To apply through Western Vista and be eligible, please have the following package of information available:
- Form 2483 – First Draw Borrower Application (Updated 1/8/21)
- Form 2483-SD – Second Draw Borrower Application (Released 1/8/21)
- PPP Borrower Acknowledgement Form
- Warranty and Authorization
- All supporting payroll calculations and documentation (940 or 941, other documents as outlined in the Interim Final Rule on pages 8-11). For your convenience, here is a sample payroll calculation tool.
- If you are a sole proprietorship, you will need your 2019 Schedule C information. Click here for detailed information. Please see pages 4-12. Please note: using your 2019 IRS Form 1040 Schedule C line 31 net profit amount, if the amount is over $100,000, reduce it to $100,000. If this amount is zero or less, you are not eligible for a PPP loan, per the SBA. If you have not yet filed a 2019 return, fill it out and compute the value.
Remember, if you have applied for the EIDL, you cannot finance payroll cost in both, but you can refinance the payroll component originally financed in the EIDL into the PPP (which has a percentage of the payroll cost that can be forgiven under certain circumstances). The SBA and Western Vista are relying upon the information being submitted as true and accurate. Anything misrepresented will be considered fraud and prosecuted as such by the lender and the SBA.
To submit a complete SBA PPP loan package:
- Call us at 1-800-310-2197 and ask to speak to a member of the business lending team; OR
- FAX the package to 307-778-8923; OR
- Email firstname.lastname@example.org and we will reply with a secure link for you to submit the completed package
The demand for this loan is very high. We are working to process applications as swiftly as possible. The SBA has limited funding set aside for the PPP, so it is recommended that businesses consider the direct EIDL loan and the PPP and determine which works best, as each loan program has different terms and conditions.
Other Helpful information
The Wyoming Legislative Service Office has provided a COVID-19 State and Federal Resources with links to a variety of services.
Are you wondering what to do if your finances have been impacted by the pandemic? Here is some great information.