Additional Funding for Small Businesses Now Available
Additional funding is now available for small businesses. In a relief bill passed by the Senate on Friday, April 24th, an additional $370 billion has been approved for small businesses through the Small Business Administration (SBA).
Of the $370 billion available to small businesses, $310 billion will replenish the Paycheck Protection Program (PPP) which ran out of funds last week. $60 billion of those funds allocated to the PPP fund will be set aside for lending by small banks, credit unions, minority-owned banks and other small lenders to ensure the loans are provided to low-income and rural communities who may lack access to financing through larger banks.
The remaining $60 billion approved by the Senate for small businesses will go to the SBA’s Economic Injury Disaster Loan (EIDL) program. $50 billion will be used for the EIDL loans available directly through the SBA for working capital loans and $10 billion will be used for EIDL small business grants of up to $10,000 for disaster relief.
Continue to check for updates on recent legislation and guidance issued on our webpage dedicated to COVID-19 at https://www.holbrookmanter.com/covid-19-updates-resources/.