Small Business Paycheck Protection Program (PPP)

SBA Paycheck Protection Program

Updated Friday, April 10:

The Small Business Administration has officially launched the application for the much-anticipated Paycheck Protection Program. This program will provide eligible businesses up to $10 million of federally-guaranteed loans. Through June 30, 2020, small businesses and sole proprietorships can apply for one loan per business. 

John Marshall Bank serves as an approved lender but due to the overwhelming response to the program, we are suspending the application process for new applicants. We are currently processing existing applications and will provide updates if we are able to accommodate additional clients.  We continue to prioritize our impacted customers but will welcome any new client who is interested in establishing John Marshall Bank as their primary banking relationship.

Questions or Concerns?

If you are an existing customer, please contact your Relationship Manager. Otherwise, feel free to reach out to us with any questions or concerns through our Contact Us page.

Quick Overview

  • The loan terms are the same for everyone with a fixed rate of 1.00% and a maximum loan amount of 2.5 times your monthly payroll costs.
  • Loan payments will be deferred for six months with the loan coming due in two years and no prepayment penalties or fees for early repayment
  • No collateral or personal guarantees are required
  • No fees will be charged to small businesses for participating in the PPP by either the government or JMB
  • Due to the funding cap, we encourage you to apply as quickly as you can
  • Maximum loan amounts may not exceed $10 million
  • Loans are subject to partial forgiveness and will be 100% guaranteed by the SBA
  • Funds used to cover payroll costs, mortgage interest, leases and utilities during the first eight weeks of the loan are eligible for forgiveness.  Any balance remaining after the forgiven amount must be repaid within the two-year term of the loan.

Who is Eligible for the PPP?

Small businesses with 500 or fewer employees — including nonprofits, veterans organizations, tribal concerns, self-employed individuals, sole proprietorships, and independent contractors — are eligible. Businesses with more than 500 employees are eligible within certain industries.

What is the SBA Paycheck Protection Program Forgiveness Loan and How Does it Work?

Loan amounts will be fully forgiven for the following qualifying expenses over an 8 week period:

  • payroll costs (payroll costs will be capped at $100,000 annualized for each employee)
  • interest on mortgages
  • rent
  • utilities

You’ll be required to repay the loan if you use the funds to cover expenses that are outside of the qualifying costs and you do not maintain your staff and payroll. Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. Forgiveness will be reduced if full-time headcount declines or if salaries and wages decrease. Payroll costs are capped at $100,000 on an annualized basis for each employee.

Defining Payroll Costs

  • Payroll: Salary, wages, commissions, or tips (capped at $100,000 on an annualized basis for each employee)
  • Employee Benefits: Costs for vacation, parental, family, medical, or sick leave; allowances made for separation or dismissal; payments required for the provisions of group health care benefits including insurance premiums; and payment of any retirement benefit
  • Other Expenses: State and local taxes assessed on compensation
  • Sole Proprietor or Independent Contractor: Wages, commissions, income, or net earnings from self-employment, capped at $100,000 on an annualized basis for each employee

The Paycheck Protection Program is implemented by the Small Business Administration with support from the Department of the Treasury. Visit or for more information.