Main Street Lending Program

Needham Bank is proud to participate in the Federal Reserve Main Street Lending Program. This program is intended to support U.S. companies with up to 15,000 employees or annual revenues of up to $5 billion that were in sound financial condition before the COVID-19 crisis and require financing due to unprecedented circumstances brought about by the crisis.

Main Street Lending information is subject to change based on updates from The Federal Reserve. For FAQs and up-to-date information, please visit the Federal Reserve home page. For detailed questions about your business and the Main Street Loan Program, please contact your accountant or financial advisor.

To learn more about the program, watch the Federal Reserve video by clicking here.

Does my business need to be located in Needham Bank’s market or assessment area in order to apply?

Yes. We will process your application ONLY if your business is located in one of the following cities or towns:

What are the terms of the various Main Street Lending Program?

Below is a brief summary of some of the basic terms and conditions as defined within the Main Street Lending Program.

  New Loan Facility Priority Loan Facility Expanded Loan Facility

Loan Term

5 years 5 years 5 years

Principal Payments

Principal deferred for two years. Years 3-5: 15%, 15%, 70% Principal deferred for two years. Years 3-5: 15%, 15%, 70% Principal deferred for two years. Years 3-5: 15%, 15%, 70%

Interest Payments

Deferred for one year Deferred for one year Deferred for one year
Interest Rate Adjustable rate of LIBOR (1 or 3 mo.) plus 300 basis points.  Adjustable rate of LIBOR (1 or 3 mo.) plus 300 basis points. Adjustable rate of LIBOR (1 or 3 mo.) plus 300 basis points.

Loan Size

$250,000 to $35 million $250,000 to $50 million $10 million to $300 million

Maximum Combined Debt to Adjusted 2019 EBITDA

4 times 6 times 6 times

Lender Participation Rate

5% 5% 5%

Fed Participation Rate

95% 95% 95%

Prepayment Allowed

Yes, without penalty Yes, without penalty Yes, without penalty
Business Size Limits 15,000 employees or fewer, or 2019 revenues of $5 billion or less 15,000 employees or fewer, or 2019 revenues of $5 billion or less 15,000 employees or fewer, or 2019 revenues of $5 billion or less
Fees Origination and transaction fees may apply Origination and transaction fees may apply Origination and transaction fees may apply

How can I apply for a Main Street Lending Program loan?

If you have questions or feel a Main Street Lending Program loan may be right for your business, please call James Daley, SVP Commercial Lending at 781-474-5954 or email 
[email protected].

Main Street Lending information is subject to change based on updates from The Federal Reserve.