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PPP Loan Forgiveness

If you currently have an SBA PPP loan at Ion Bank and are interested in applying for forgiveness, click here.

Please continue below for information about applying for a first or second draw PPP Loan.

PPP 2021 Loan Application

Ion Bank is now accepting applications for the current round of Paycheck Protection Program loans for both first time borrowers to the program (first draw) and those that previously applied (second draw).

The Consolidated Appropriations Act of 2021 has made available an additional $284 billion in funding for forgivable loans through the Paycheck Protection Program (PPP) for both first draw and second draw borrowers.

The key updates include:

  • Provide an opportunity for businesses to receive a PPP loan if they did not apply in 2020
  • Allow existing PPP borrowers (except for borrowers who have already received forgiveness) to spend proceeds on additional forgivable expenses, including business software, personal protective equipment, and other operating or capital expense to comply with public health directives
  • Create an easier forgiveness process for loans under $150,000
  • Allow small and hard-hit businesses to apply for a second loan, known as “PPP Second Draw” loans

Eligibility for first draw and second draw PPP loans include:

  • Any small business that meets SBA’s size standards (either the industry based sized standard or the alternative size standard)
  • Sole proprietors
  • Independent contractors
  • Self-employed individuals
  • Certain non-profit organizations (the new bill has expanded eligible businesses to include certain 501(c)(6) non-profit organizations)
  • Seasonal employers – the new bill has clarified the definition of these to be businesses that operate no more than seven months within a year or earn no more than a third of gross receipts within a six-month period
  • Faith-based organizations that have less than 150 employees
  • Housing cooperatives that employ less than 300 people

Eligibility for a first draw PPP loan (PPP funding not received in 2020):

  • Your business has less than 500 full-time, part-time, or seasonal employees
  • Your business was operational before February 15, 2020 and remains operational

Overview of first draw PPP loans

First draw PPP Loan ApplicationPlease note, to start any new 2021 application, you must access the application from the “click here” link on the initial application screen and create a new user account, different from your existing account, to proceed.

Eligibility for a second draw PPP loan (PPP funding received in 2020):

  • Your business has less than 300 full-time, part-time, or seasonal employees; if you have multiple locations, you may not have more than 300 employees per location
  • You are able to demonstrate a revenue reduction of at least 25% in the first, second, or third quarter of 2020 (compared with the same quarter in 2019)
  • You have used or will use the full amount of your initial PPP loan
  • Your business was operational before February 15, 2020 and remains operational

Overview of second draw PPP loans

Second draw PPP Loan ApplicationPlease note, to start any new 2021 application, you must access the application from the “click here” link on the initial application screen and create a new user account, different from your existing account, to proceed.

How to Apply

If you have never received PPP funding, please use the New First Draw PPP Application. If you had previously received funding through the PPP program, you are required to complete the PPP Second Draw Application.

First draw PPP Loan ApplicationPlease note, to start any new 2021 application, you must access the application from the “click here” link on the initial application screen and create a new user account, different from your existing account, to proceed.

Second draw PPP Loan ApplicationPlease note, to start any new 2021 application, you must access the application from the “click here” link on the initial application screen and create a new user account, different from your existing account, to proceed.

If you have questions regarding the process, please call us at 203.729.4442.


For more information, please visit these links from the SBA.

Accessing Capital for Minority Underserved, Veteran and Women-Owned Business Concerns Guidance
Interim Final Rule #1 – PPP as Amended by Economic Aid Act
Interim Final Rule #2 – PPP Second Draw Loans
Procedural Notice: 5000-20074 PPP Forms (Modifications to PPP SBA Forms 3506, 3507 and 750 CA)
Procedural Notice – SBA Procedural Notice on Repeal of EIDL Advance Deduction Requirement