Running on empty
The Small Business Administration’s rescue loan program hit its $349 billion limit on Thursday and is now out of money. The SBA website reads that it is “unable to accept new applications for the Paycheck Protection Program based on available appropriations funding. Similarly, we are unable to enroll new PPP lenders at this time.”
The first-come, first-serve Paycheck Protection Program of $349 billion had promised to ease some of the financial burden for the nation’s smallest businesses.
The rate that America business owners burned
thought the $349 trillion dollar PPP budge speaks to the severity of the damage done by the government ordered shut down and the economic damage of Covid-19. Lawmakers have expressed plans to increase funding for the PPP program as an effort to keep the American economy afloat.
“Small businesses are the backbone of the American economy, employing 47% of all workers. In high-cost cities, the median small business has only enough cash to cover 2-3 weeks of expenses,”-Ron Temple
Below is a breakdown of how PPP loans have been allocated.
It is unclear as to when Democrats and Republicans will come to an agreement on when and how to refill the programs gas tank. Neither wants to leave business owners out in the cold on a election year.