The Small Business Administration (SBA) announced today that the funds allocated from the CARES Act for the Paycheck Protection Program (PPP) have been exhausted. The program, which launched on April 3, 2020 has provided $349 billion in loans to small businesses.
Treasury Secretary Steven Mnuchin announced last week that the administration is working with Congress to add more money to the PPP and that the parties are trying to reach an agreement on a package that will immediately increase funding. They are in talks today, April 16, 2020.
With this in mind, if you plan to apply, we recommend you contact your commercial banker so that you can take the appropriate steps to be ready when additional funding is in place and applications are again accepted.
We are following this news and will update you once we learn more. As always, please contact your Smith & Howard advisor if you have any questions.