Paycheck Protection Program Lending Window Closing

SBA Asks Lenders to Prioritize Underserved Communities

BY: SBA Mid-Atlantic Regional Administrator (acting) Steve Bulger

The last two weeks of the Paycheck Protection Program are upon us. The U.S. Small Business Administration continues to work with lenders to prioritize access to capital and loan forgiveness for those who qualify. Key to the success of this program is ensuring the cash infusion reaches all areas of our economy, including underserved borrowers such as socially and economically disadvantaged individuals, military veterans and their spouses, women, and rural communities.

SBA Administrator Jovita Carranza recently reached out to our lender network to ask them to redouble their efforts to assist underserved and disadvantaged businesses and nonprofits with PPP financing, thus allowing us to expand economic opportunity before the upcoming deadline of June 30, 2020. We’ve seen success in these areas thanks to the dedicated $10 billion of Round Two funding provided exclusively by Community Development Financial Institutions.

We recognize that SBA-approved PPP institutions like CDFIs, Minority Depository Institutions, Certified Development Companies, and Farm Credit System lenders are leading the way to serve individual entrepreneurs and small businesses in underserved communities. As it stands, SBA has already served more than 4.5M businesses and nonprofits through PPP, infusing more than $500B into the economy. Last week’s surprise drop in unemployment is a direct result of PPP keeping Americans on the payroll.

SBA is dedicated to sustaining our nation’s small businesses and retaining tens of millions of employees – a key priority for President Trump. With more than $100B still available, now is the perfect time for underrepresented small business owners to work with their preferred lender, or find a new lender at https://www.sba.gov/paycheckprotection/find  to apply for their own PPP loan to help their business and their employees survive and thrive.