Customer Assistance
SBA loan programs during the COVID-19 outbreak
The Small Business Administration offers several loan programs for businesses facing extraordinary circumstances. Bremer Bank is an SBA Preferred Lender, and can help you evaluate your loan options across SBA and other available programs.
Please note: The SBA recently announced that from Wednesday, February 24 through Tuesday, March 9, it will only accept PPP loan applications from organizations which have 19 or fewer employees. If your organization has 20 or more employees, Bremer will hold your application until the window opens up again on Wednesday, March 10.
Paycheck Protection Program (PPP) - First Draw
For businesses that did not receive PPP funds in 2020. If you own other businesses, please include a completed Addendum A with your application. The SBA will review each application and decide to approve, deny or request more information.
A new program that may be used on your payroll costs including benefits, interest on mortgage obligations, rent and utilities.
- Employer Size
- Employ not more than 500 employees
- Business Entity Type
- Eligible entities include businesses, certain non-profit organizations, housing cooperatives, veterans’ organizations, tribal businesses, self-employed individuals, sole proprietors, independent contractors, and small agricultural co-operatives.
- Requirements
- Have not applied for a PPP loan previously. A new or existing Bremer checking account is required.
Up to 2.5x the average monthly payroll costs during the year prior to the loan (or the previous calendar year) up to a maximum of $10 million.
The interest rate is 1.00%, with a term of 5 years.
- If you own other businesses
- If you answer Yes to the "Has other businesses?" question in the online application, please include Addendum A in your application submission.
- Submit application to SBA
- We will submit your application to SBA as soon as SBA will accept it.
- SBA Reviews Applications
- The SBA will individually review each application and decide to approve, deny or request more information. This process is expected to take up to a few days.
- Contact Us
- Call Customer Support at 800-908-2265.
Paycheck Protection Program (PPP) - Second Draw
For businesses that received PPP funds in 2020. The SBA will review each application and decide to approve, deny or request more information. If needed, please upload a new Addendum A with your application.
A new program that may be used on your payroll costs including benefits, interest on mortgage obligations, rent and utilities.
- Employer Size
- Employ not more than 300 employees
- Business Entity Type
- Eligible entities include businesses, certain non-profit organizations, housing cooperatives, veterans’ organizations, tribal businesses, self-employed individuals, sole proprietors, independent contractors, and small agricultural co-operatives.
- Requirements
Must demonstrate 25% reduction in year over year gross receipts for any quarter (2019 to 2020). The full amount of the first draw PPP loan must have been used prior to the disbursement of the second draw PPP loan. A new or existing Bremer checking account is required.
- For Most Businesses
- Up to 2.5x the average monthly payroll costs during the year prior to the loan (or the previous calendar year) up to a maximum of $2 million.
- For Accommodations and Food Services Businesses
- For businesses in Accommodations and Food Services (NAICS Code 72), the loan maximum is up to 3.5x the average monthly payroll costs during the year prior to the loan (or the previous calendar year) up to $2 million.
The interest rate is 1.00%, with a term of 5 years.
- If you own other businesses
- If you answer Yes to the "Has other businesses?" question in the online application, please include Addendum A in your application submission.
- Submit application to SBA
- We will submit your application to SBA as soon as SBA will accept it.
- SBA Reviews Applications
- This process will be slightly different than what you experienced during your first draw PPP loan. The SBA will individually review each application and decide to approve, deny or request more information. This process is expected to take up to a few days.
- Contact Us
- Call Customer Support at 800-908-2265.
SBA Economic Injury Disaster Loan
Working capital loans to meet ordinary and necessary financial obligations that cannot be met as a direct result of a disaster.
To meet working capital obligations as a direct result of a disaster, these loans are originated directly through the SBA.
These loans are subject to SBA qualifying criteria, and funded directly through SBA.
- Business Size or Type
- You are eligible if you are a small business or a 501(c)(3) with fewer than 500 employees, an individual who operates as a sole proprietor or independent contractor, or if you otherwise meet the SBA’s small business size standard.
- Requirements
- Subject to credit history, repayment ability and collateral review by the SBA
Limited to the economic injury determined by SBA, up to a maximum of $2 million
Maximum 30 years
The SBA will correspond with you directly regarding your EIDL application.
PPP Application FAQs
You may wish to start collecting the following documentation:
- Business name.
- Employer Identification Number (EIN).
- Date business was established.
- Ownership information, including names, addresses, Social Security numbers and titles for each person with greater than 20% ownership.
- Primary authorized representative information, including name, address, Social Security number and title.
You will need to submit documentation sufficient to establish eligibility and to demonstrate the qualifying payroll amount, which may include, as applicable: payroll records, payroll tax filings, Form 1099-MISC, Schedule C or F, income and expenses from a sole proprietorship, or bank records.
If this application is for your First Draw, be sure to include:
- Payroll documentation for a full year to support the average monthly payroll provided.
- Tax reporting documents such as 2020 or 2019 940 or 941.
- Addendum A (if required).
If this application is for your Second Draw, be sure to include:
- Proof of 25% revenue reduction.
- If using a different time period than First Draw, all other documentation that was required for the First Draw.
- Addendum A (if required).
For Second Draw loans, the SBA has released additional guidance on how to calculate revenue reduction and maximum loan amounts and what documentation to provide. Click here to read that guidance.
You may provide 2019 and 2020 tax returns if you cannot produce quarterly information. Otherwise, the following would suffice:
- Company-produced Profit and Loss statements showing gross revenue for the chosen quarters.
- Accountant, or accounting software generated (QuickBooks) reports showing the quarterly results.
- Other provider reports such as Square. This may not show all receipts (only credit card processing) but is acceptable.
- Monthly statements for the chosen quarter, if you have a business-only checking account used for all receipts.
For Second Draw loans, the SBA has released additional guidance on how to calculate revenue reduction and maximum loan amounts and what documentation to provide. Click here to read that guidance.
If you were not in business during the first or second quarter of 2019, but were in business during the third and fourth quarters of 2019 and had gross receipts during the first, second, third, or fourth quarter of 2020 that demonstrate at least a 25% reduction from your gross receipts during the third or fourth quarter of 2019, you use third or fourth quarter 2019 to compare to any quarter in 2020. For example, if you had gross receipts of $50,000 in the third quarter of 2019 and gross receipts of $30,000 in the third quarter of 2020, you experienced a 40 percent revenue reduction between these two quarters.
If you were not in business during the first, second, or third quarter of 2019, but were in business during the fourth quarter of 2019, and had gross receipts during the first, second, third, or fourth quarter of 2020 that demonstrate at least a 25% reduction from the fourth quarter of 2019, you use fourth quarter 2019 to compare to any quarter in 2020.
If your First Draw loan was with Bremer, you can log into the online tool to check the status of your application by clicking the “Your Applications” link located at the top of the page.
If this is your first PPP loan with Bremer, you can use the link to your application found in the emails sent from BremerEdge@Bremer.com.
Yes, there is a maximum for individuals such as self-employed, sole proprietor or farmer/rancher. Annual salary for any individual is capped at $100,000, which is $8,333.33 for the Average Monthly payroll. This will result in a cap of $20,833 as the maximum loan amount.
Applying for PPP Loan Forgiveness
The SBA recently issued new guidance and forms for forgiveness applications. New forgiveness applications through Bremer are temporarily unavailable while we work to implement the changes. Please check back for a link and instructions on March 5, 2021.
Step1
Determine which form to use.
If your original PPP loan amount was $50,000 or less, you can use the new simplified forgiveness application form (Form 3508S).
If you meet any of these 3 criteria, you can use the short form (Form 3508EZ):
- Business type
- Applied for the PPP loan as self-employed, an independent contractor or a sole proprietor with no employees.
- Employee hours
- Did not reduce salary or wages for any employee by more than 25%, and did not reduce the number or hours of their employees (excepting laid-off employees who refused an offer to return).
- Business impact
- Did not reduce salary or wages for any employee by more than 25% during the covered period and experienced reductions in business activity as a result of health directives related to COVID-19.
If you did not meet the criteria for the short form, you will need to complete the long form instead.
Step 2
Prepare your form.
Use these materials to prepare your forgiveness application. This is not your final application, so you may leave loan number and signature blank.
Use these materials to prepare your calculations. This is not your final application, so you may leave loan number and signature blank.
When you get to Step 3, you will be prompted to enter values from your completed form into the online tool.
Use these materials to prepare your calculations. This is not your final application, so you may leave loan number and signature blank.
When you get to Step 3, you will be prompted to enter values from your completed form into the online tool.
To streamline your online application process, have these items on hand before using the online tool:
- Tax Identification Number
- The TIN used on the signed PPP loan application
- Email address
- The email address used when signing original loan documents
- Social Security Number
- Of original PPP loan signer
- Annual Sales
- Annual sales figure from your most recent fiscal year-end
- Completed form
- You will need to refer to your completed forgiveness application form (Form 3508EZ or Form 3508) to complete fields in the online tool.
- Supporting documents
- After submitting your form details, you will be able to upload your supporting documentation
- Schedule A (if applicable)
- If submitting the long form (Form 3508), upload an electronic version of your Schedule A worksheet as well
Contact your business banker if you have questions during the process.
PPP Loan Forgiveness FAQs
General Questions
The new Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act includes provisions to continue the Paycheck Protection Program and other small business relief programs. It also includes some changes to previous forgiveness guidance, including a new streamlined process for all PPP loans under $150,000 and some changes to eligible expenses and calculations.
Please see your application form (Form 3508S, Form 3508EZ or Form 3508) and its instructions for a listing of materials to collect for your forgiveness application.
After the SBA has completed its forgiveness review, please be sure to retain all records gathered in the PPP loan application and forgiveness application processes, including:
- Copies of all information provided to Bremer in connection with your PPP loan
- Copies of all information provided to Bremer in connection with your forgiveness applications
- Any supporting information that was not required to be submitted, such as payroll records, job offers and refusals, etc.
In most cases, the SBA requires at least a six-year retention period.
The SBA is reviewing all loans of $2 million or more. As part of this process, they provide a Loan Necessity Questionnaire to lenders and borrowers.
If you receive a questionnaire, you should submit to your lender within 10 business days of receipt.
Resources for small businesses
In addition to the loan programs offered by the SBA and the CARES Act, additional government resources are available. Talk to your banker for help navigating the options available to you.
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Small Business Administration (SBA)
The SBA offers small business guidance and loan resources on their website.
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State of Minnesota
Minnesota’s Department of Employment and Economic Development publishes a variety of COVID-19 information for both workers and businesses.
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State of North Dakota
The state of North Dakota has a variety of business and employer resources on their website.
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State of Wisconsin
Local and statewide options for Wisconsin businesses are compiled online.
Consumer loan assistance
If you are a Bremer customer impacted by the COVID-19 situation, Bremer is here to work with you.
Consumer mortgage loans
Bremer mortgage customers affected by the COVID-19 situation may qualify for suspended or reduced payments for up to 12 months.
If you are a mortgage customer in need of this assistance, please contact our Loan Solutions team at 651-734-4147 or 1-800-908-2265, extension 4147.
In addition, Bremer is suspending all foreclosure actions, with the exception of abandoned or vacant properties.
Consumer loans, including home equity loans
Customers in need of assistance may call their local banker or our Loan Solutions team at 651-734-4147 or 1-800-908-2265, extension 4147.