More than a week after the first round of Paycheck Protection Program funding ran out, the small business loan program resumed at 10:30 a.m. this morning.
U.S. Small Business Administrator Jovita Carranza and Treasury Secretary Steven Mnuchin said in a joint statement Friday that the SBA would begin accepting PPP loan applications today from approved lenders. The loans are intended to help small businesses affected by the coronavirus pandemic cover payroll and other expenses.
The SBA will be coding its system to handle changes made to the program in the most recent legislation authorizing additional funding for the program. Congress approved an additional $250 billion for PPP loans and another $60 billion designated for PPP loans processed by smaller banks and community development financial institutions.
“We encourage all approved lenders to process loan applications previously submitted by eligible borrowers and disburse funds expeditiously,” Carranza and Mnuchin said in the statement. “All eligible borrowers who need these funds should work with an approved lender to apply. Borrowers should carefully review PPP regulations and guidance and the certifications required to obtain a loan.”
The first round of funding ran out on April 16, less than two weeks after the program created by the CARES Act launched. The program faced criticism that many small businesses were left out of the program and that big banks prioritized certain customers.
The legislation, signed by President Donald Trump on Friday, also provides for another $60 billion for another SBA loan program, the Emergency Injury Disaster Loan, which ran out of funding as well.





