Small Business Rescue Loan Program Is Now Out of Money

Wow. That was fast. It’s hard to imagine how painful this time must be for business owners.

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.”

  • Though lawmakers appear close to extending funds for the programs, the pace at which U.S. small businesses exhausted the initial $349 billion program likely speaks to the extent and severity state-imposed business closures are having on restaurants, gas stations and other mom and pop retailers across the country.
  • 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,” wrote Ron Temple, head of U.S. equity at Lazard Asset Management.
  • “It’s critical for both parties to recognize the unprecedented stress on small business and their employees from this crisis, and pass incremental funding as an urgent priority,” he added.

Find more details from the source article below:

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