3 P a g e 20200316 COVID-19
INELIGIBLE BUSINESSES DO NOT QUALIFY FOR THIS LOAN PROGRAM.
• Loans will be interest free for the term of the loan (1 year).
• Interest rate will be 12% per annum on the unpaid balance thereafter, until the loan balance is
repaid in full.
LOAN DEFAULT NOTICE:
Each loan must be repaid in full by the maturity date established in the loan promissory note. Any loan not repaid in
full on or before the maturity date will be considered in default. A defaulted loan will incur interest and may be
assigned to a collection agency. In the event of default, the borrower will be responsible for the full amount of the
loan principal, interest, and collection agency fees.
SECTION III. REQUIRED APPLICANT DOCUMENTATION
REQUIRED LOAN APPLICATION DOCUMENTS:
1) Section III of this application form completed and signed by individual(s) who, individually or collectively, own fifty-one
percent (51%) or more of the equity of the business, as evidenced by the businesses tax statements.
2) Business Tax Returns – At a minimum, copies of the 2017 and 2018 federal income tax returns for the applicant
business, including all schedules, or a written explanation if the tax return(s) are not available.
o Sole Proprietorship – Form 1040, US Individual Income Tax Return, Sch. C, Profit or Loss from Business
o Partnerships – Form 1065, U.S. Return of Partnership Income, Schedule K-1, Partners Share of Income,
Deductions and Credits
o Corporations – Form 1120, U.S. Corporation Income Tax Return
o S Corporations – Form 1120S, U.S. S-Corporation Income Tax Return
Note: Limited Liability Company (LLC) – IRS will treat an LLC as either a corporation, partnership, or as part of the LLC’s owner’s tax return (a
“disregarded entity”). Specifically, a domestic LLC with at least two members is classified as a partnership (Form 1065) for federal income tax
purposes unless it files Form 8832 and affirmatively elects to be treated as a corporation (Form 1120 or 1120S). And an LLC with only one
member is treated as an entity disregarded as separate from its owner for income tax purposes (Form 1040, Schedule C).
3) Employer Tax Documentation (one of the following)
o 2019 Employer’s Annual Federal Tax Return (IRS Form 940)
o 2019 Employer's Quarterly Federal Tax Return (IRS Form 941)
o 2019 W-3s or W-2s for minimum of two employees
4) Individual Tax Returns – At a minimum, copies of the 2017 and 2018 federal income tax returns, IRS Form 1040 and all
schedules, for each individual business owner who completed and signed this application.
COLLECT ALL REQUIRED SUPPORTING DOCUMENTS BEFORE COMPLETING APPLICATION.
APPLICANT MAY VOLUNARILY PROVIDE ADDITIONAL INFORMATION THAT WILL ADD CONTEXT AND ASSIST THE
LOAN COMMITTEE IN MAKING AN INFORMED LOAN DECISION. ADDITIONAL INFORMATION MAY INCLUDE:
Year-end financial statements for the past two tax years.
Interim financial statements (profit & loss) for the current year-to-date.
Additional filing requirements providing monthly sales figures.
Explanation of credit report concerns and issues.
ADDITIONAL INFORMATION MAY BE REQUESTED BY THE LOAN COMMITTEE TO DETERMINE A LOAN
DECISION. IF REQUESTED, PLEASE PROVIDE ADDITIONAL INFORMATION WITHIN 7 DAYS OF THE REQUEST.