First Independence Bank Tapped Again as a Participatory Lender for Loan Re-Opening Program to Support Small Businesses

Small Business Administration Officially Announces Paycheck Protection Program Re-Opening with New Guidance Issued

DETROIT – (January 11, 2021) – First Independence Bank is tapped to be one of the CDFI’s to service loans for the U.S. Small Business Administration (SBA) and U.S. Treasury Department’s Expansion/Revision to Paycheck Protection Program (PPP) Loans with a particular focus on small businesses. The SBA/Treasury has defined eligible CFIs as Treasury-certified Community Development Financial Institutions, FDIC-designated Minority Depository Institutions, Certified Development Corporations, and certain non-profit or governmental microloan intermediaries.
Late Friday, the U.S. Small Business Administration (SBA), in consultation with the Treasury Department made an announcement that the Paycheck Protection Program (PPP) will re-open during the week of January 11 for new borrowers and existing PPP borrowers and certain existing PPP borrowers. To promote access to capital, initially only community financial institutions will be able to make First Draw PPP Loans (first time applicants) on Monday, January 11, and Second Draw PPP Loans (those who received PPP loans back in 2020) on Wednesday, January 13. The PPP will open to all participating lenders shortly thereafter.

Updated PPP guidance outlining Program changes to enhance its effectiveness and accessibility was released on January 6th in accordance with the Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act.

According to the SBA, this round of the PPP continues to prioritize millions of Americans employed by small businesses by authorizing up to $284 billion toward job retention and certain other expenses through March 31, 2021, and by allowing certain existing PPP borrowers to apply for a Second Draw PPP Loan.

This PPP program intends to reach two audiences:
1. Those who did not participate in PPP in 2020. The term used is First Draw-FD.
2. Those who received PPP in 2020 and still qualify (under the 2021 guidelines) for PPP. The term used is Second Draw-SD.
“First Independence Bank is proud to serve again as a participatory CDFI lender for the SBA’s and US Treasury’s PPP loan to further provide assistance to the much-needed bedrock of our country’s economic engine, our small businesses,” says Kenneth Kelly, Chairman & CEO, First Independence Bank. “The re-opening of this PPP loan with new guidelines and initial implementation places particular focus on small businesses who did not get to participate in 2020. It will benefit those who need additional support but intends to reach many small businesses (who will for the first time) obtain relief to help sustain their business. Based on the Associated Press’ assessment of the first two rounds, many minority businesses were left out and I am hopeful that this round changes those statistics” said Kelly.

The SBA has updated the PPP Borrower application (Form 2483) with the new PPP loan requirements and added demographic information at the end of the form. The second draw application for borrowers is also provided (Form 2483-SD). This application should only be used for those borrowers who have previously obtained a PPP loan. Lender applications, for both new PPP loans (Form 2484), and second draw loans (Form 2484-SD) have been updated for your use.

Key PPP updates include:

o PPP borrowers can set their PPP loan’s covered period to be any length between 8 and 24 weeks to best meet their business needs;
o PPP loans will cover additional expenses, including operations expenditures, property damage costs, supplier costs, and worker protection expenditures;
o The Program’s eligibility is expanded to include 501(c)(6)s, housing cooperatives, destination marketing organizations, among other types of organizations;
o The PPP provides greater flexibility for seasonal employees;
o Certain existing PPP borrowers can request to modify their First Draw PPP Loan amount; and
o Certain existing PPP borrowers are now eligible to apply for a Second Draw PPP Loan.

A borrower is generally eligible for a Second Draw PPP Loan if the borrower:

o Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses;
o Has no more than 300 employees; and
o Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.

First Independence Bank will be assisting with PPP Loans in Round 3. 

Currently FIB is no longer accepting loan applications.

If you are a first time PPP loan applicant or if this is your first application with us please be sure to include 2019 personal tax returns with Schedule C and/or complete and accurate detailed payroll records to support the loan calculation.   We cannot process incomplete applications.  Refer to the SBA website for detail on how the loan amounts are calculated and eligibility.

When you submit your application you will be required to upload the following documents:

Personal/private information required:

  • All Businesses:
  • Legal Business Name, assigned EIN (may be excluded for sole prop using SSN) and Business address (this is the physical location of the business not a mailing/P.O. Box)
  • All persons:
  • Legal Name, DOB, SSN, home address, occupation/title, % of ownership (if applicable)

Documentation Required based on business formation:


  • Articles of Inc
  • Operation Agreement (if more than 1 owner)
  • Certificate of Beneficial Ownership
  • Clear Copies of Drivers Licenses, front and back (owners w/ 25% or more ownership and Control Person)

Corporation Non-Profit

  • Articles of Inc
  • Operation Agreement
  • Certificate of Beneficial Ownership
  • Clear Copies of Drivers Licenses, front and back (authorized persons W/ authority and Control Person)


  • Articles of Inc
  • Operation Agreement (if more than 1 owner)
  • Certificate of Beneficial Ownership
  • Clear Copies of Drivers Licenses, front and back (owners w/ 25% or more ownership and Control Person)


  • Business Documents
  • Partnership Agreement
  • Clear Copies of Drivers Licenses, front and back (owners w/ 25% or more ownership and Control Person)

Sole Proprietorship

  • Professional License w/ State (ex. Dr. Mark Smith M.D.) or DBA papers from County (if applicable)
  • Clear Copy of Driver’s License, front and back

For some frequently asked questions click HERE.