Update on Paycheck Protection Program

— Written By

4/7/2020 Update on PPP for NC Producers

AgCarolina Farm Credit, Cape Fear Farm Credit, and Carolina Farm Credit are not SBA approved lenders. We have been working through the approval process, as another way to offer our members additional support during these challenging times. It has been a very slow process, and we are currently unable to process Paycheck Protection Program (PPP) applications at this time. We know these funds will not last long, so we are encouraging our members to reach out to their depository banks with any immediate needs.

Since the funding for PPP will be limited, farmers needing funds should contact any bank where they have an account/depository relationship. The list of SBA lenders serving NC small businesses is being updated through this process. If your bank is not listed here, call them anyway to confirm.

In the meantime, farmers should be pulling together the following information so that they are ready when the application process for their bank is open:

• Date their business started
• Annual revenue
• Business mailing address
• Documentation necessary to establish eligibility, which may include:
– Payroll report(s) detailing the defined 12 months compensation
– Quarterly or Annual payroll tax filings
– Documentation verifying the number of employees on payroll for the defined period
– Annual filings (W2s and W3, etc.)
– Severance agreements and payments
– Payment for health care benefits
– Payment of any retirement benefit (i.e., employer match for 401k, or SEP IRA, etc.) including statements or contribution reports
– Form 1099-MISC
– Income and Expense documentation of a sole proprietor
• For borrowers that do not have any such documentation, other supporting documentation must be provided, such as bank records, sufficient to demonstrate the qualifying payroll amount

Note: Additional information may be required to subsequently apply for loan
forgiveness.