Back to All NewsThousands of Applicants, Zero Loans: Small Business Lending Program is a Failure to Launch
Posted By American Med Spa Association, Monday, April 6, 2020
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One day after the launch of a $350-billion loan program designed to rescue millions of small businesses pummeled by the coronavirus pandemic, technical glitches continued to cripple the ability of the nation's top lenders to begin processing the loans, throwing into doubt when any of the applicants will start receiving any money.
The lending program, which forms part of the $2-trillion Coronavirus Aid, Relief and Economic Security (CARES) Act, is a much-needed lifeline for the 30 million small businesses across the country. It offers loans of up to $10 million to companies who employ fewer than 500 people. Those loans are forgiven as long as the businesses meet certain conditions, such as using the majority of the funds to pay worker salaries for the eight weeks following the loan closing.
However, two of the nation's biggest banks say they have only just been able to start processing loans.
Read more at NBC News >>
The lending program, which forms part of the $2-trillion Coronavirus Aid, Relief and Economic Security (CARES) Act, is a much-needed lifeline for the 30 million small businesses across the country. It offers loans of up to $10 million to companies who employ fewer than 500 people. Those loans are forgiven as long as the businesses meet certain conditions, such as using the majority of the funds to pay worker salaries for the eight weeks following the loan closing.
However, two of the nation's biggest banks say they have only just been able to start processing loans.
Read more at NBC News >>
