Launched less than two weeks ago, the Paycheck Protection Program managed through the Small Business Administration (SBA) has funded nearly $248 billion in more than one million loans to small businesses across the country. As of Monday, April 13, Mississippi banks have helped process a total of 14,209 loans valued at $1.9 billion to Mississippi small businesses through this program.
As part of the CARES Act signed into law on March 27, the Paycheck Protection Program provides much-needed assistance to many small businesses desperate for help as a result of the pandemic. With guidance from the U.S. Treasury and SBA, financial institutions across the state are helping their customers gain access to funding from this program.
“Mississippi banks have been working around the clock and continue to do so to assist small business owners in keeping Mississippians employed through the help of the Paycheck Protection Program loans. There have been some nationwide challenges with the rollout of such a large and urgent federal program, but Mississippi banks and bankers are continuing to work through those challenges to provide the much needed assistance to workers across the state,” Mississippi Bankers Association President and CEO Gordon Fellows said. “Mississippi banks are committed to serving their communities in as many ways as possible, and the Paycheck Protection Program is one of the important tools banks can use to support local small businesses. We encourage small business owners to remain patient and in close contact with local bankers to take advantage of this and other opportunities available during this pandemic.”
The report from the SBA shows that on a national level 70% of these loans are for $150,000 or less. The top five industries receiving funding from the Paycheck Protection Program thus far are: construction; professional, scientific and technical services; manufacturing; health care and social assistance; and accommodation and food services.