Paycheck Protection Loans

Learn more about Paycheck Protection Loans and "Second Draw" loans. Hawthorn Bank is accepting new applications through May 26, 2021.

Applying for a PPP Loan

Who Is Eligible?

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 may be eligible in certain industries.


What is a 'Second Draw' PPP Loan?

The Paycheck Protection Program (PPP) now allows certain eligible borrowers that previously received a PPP loan to apply for a Second Draw PPP Loan with the same general loan terms as their First Draw PPP Loan. Second Draw PPP Loans can be used to help fund payroll costs, including benefits. Funds can also be used to pay for mortgage interest, rent, utilities, worker protection costs related to COVID-19, uninsured property damage costs caused by looting or vandalism during 2020, and certain supplier costs and expenses for operations.

Read more about Second Draw PPP loans.

Is My Business Eligible for a Second-Draw Loan, and Loan Forgiveness?

Second Draw PPP Loans made to eligible borrowers qualify for full loan forgiveness if during the 8- to 24-week covered period following loan disbursement:

  • Revenues from 2019 have declined 25% in 2020 based on a quarterly comparison;
  • Employee and compensation levels are maintained in the same manner as required for the First Draw PPP loan;
  • The loan proceeds are spent on payroll costs and other eligible expenses; and
  • At least 60 percent of the proceeds are spent on payroll costs.

How Do I Determine My Loan Amount?

Small businesses can apply for two and a half months of average monthly payroll expenses (calculated by taking the average monthly payroll cost from 2019 multiplied by 2.5). Businesses must exclude payroll that exceeds $100,000 per individual employee.


Top-line Overview of PPP First Draw Loans 

Interim Final Rules Amending PPP First Draw Loans 

How to Calculate First Draw PPP Loan Amounts


Top-line Overview of PPP Second Draw Loans

Interim Final Rules on PPP Second Draw Loans

How to Calculate Revenue Reduction and Maximum Loan Amounts for Second Draw


How Do I Apply?

  1. First, select which type of loan you're taking out - a new PPP loan, or a Second Draw PPP loan.

    If you are a sole proprietor, independent contractor or self-employed who files an IRS Form 1040, Schedule C, select the Schedule C option.

    Begin your application by clicking on the corresponding link below.
  2. Complete the application form and scan the document to your computer or device.
  3. Select your region below. This will open an email directed to the lending office nearest you. Attach your completed application to the email before sending. You will receive a confirmation email once we have your application on file.

(If you prefer, you may fax your application to us. Regional fax numbers are listed on the application.)

Mid-Missouri (Jefferson City, Columbia and surrounding areas)

Clinton/Warsaw/Osceola Area

Greater Kansas City Area

Springfield, MO Area

If none of the above regions apply, please select the region nearest you.

What Happens Next?

Once you have submitted your application via email, you will receive a confirmation email. One of our experienced local lenders will be in touch with you to discuss your loan.

If you have further questions about the Paycheck Protection Program, see this helpful overview(Opens in a new Window)(Opens in a new Window) by the U.S. Department of the Treasury.

PPP Loan Forgiveness

We know that loan forgiveness is important to you and your business.

The entire amount of your PPP loan, plus accrued interest, could be forgiven, but it is important for you to know that loan forgiveness is not automatic.

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.

How to Apply for Forgiveness

Learn more about forgiveness or download a forgiveness application form.


Have more questions? See helpful resources from the Treasury Department: