SBA and Treasury Department Announce $10 Billion for CDFIs to Participate in the Paycheck Protection Program
WASHINGTON – Today, the U.S. Small Business Administration, in consultation with the U.S. Treasury Department, announced that it is setting aside $10 billion of Round 2 funding for the Paycheck Protection Program (PPP) to be lent exclusively by Community Development Financial Institutions (CDFIs). CDFIs work to expand economic opportunity in low-income communities by providing access to financial products and services for local residents and businesses. These dedicated funds will further ensure that the PPP reaches all communities in need of relief during the COVID-19 pandemic – a key priority for President Trump.
“The forgivable loan program, PPP, is dedicated to providing emergency capital to sustain our nation’s small businesses, the drivers of our economy, and retain their employees,” said SBA Administrator Jovita Carranza. “CDFIs provide critically important capital and technical assistance to small businesses from rural, minority and other underserved communities, especially during this economically challenging time.”
“The PPP has helped over 50 million American workers stay connected to their jobs and over 4 million small businesses get much-needed relief,” said Treasury Secretary Steven T. Mnuchin. “We have received bipartisan support for dedicating these funds for CDFIs to ensure that traditionally underserved communities have every opportunity to emerge from the pandemic stronger than before.”
As of May 23, 2020, CDFIs have approved more than $7 billion ($3.2 billion in Round 2) in PPP loans. The additional $6.8 billion will ensure that entrepreneurs and small business owners in all communities have easy access to the financial system, and that they receive much-needed capital to maintain their workforces.
The Paycheck Protection Program was created by the Coronavirus, Aid, Relief, and Economic Security Act (CARES Act) and provides forgivable loans to small businesses affected by the COVID-19 pandemic to keep their employees on the payroll. To date, more than 4.4 million loans have been approved for over $510 billion for small businesses across America.
The SBA and the Treasury Department remain committed to ensuring eligible small businesses have the resources they need to get through this time.
About the U.S. Small Business Administration
The U.S. Small Business Administration makes the American dream of business ownership a reality. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.
Nevada GOED to hold informational meeting in Mesquite City Hall on June 6
MESQUITE, Nev. – Federal grant money is available to Nevada small businesses to open the door of the global marketplace to them, but many business owners just never apply for the free federal dollars. The Nevada Governor’s Office of Economic Development (GOED) will hold an informational seminar next week to illustrate the benefits of the state’s exporting resources.
Small business owners and leaders are encouraged to attend an informational meeting about the State Trade Expansion Program (STEP) grant on Thursday, June 6, at 9:30 a.m. in the Council Chambers at Mesquite City Hall, 10 E. Mesquite Blvd., hosted by GOED, the City of Mesquite and the Mesquite Chamber of Commerce. So far this year 13 small Nevada businesses have taken advantage of the grant and have been awarded nearly $90,000.
“There are many great state programs designed to help small businesses, especially the STEP grant which provides businesses with money to help begin exporting their goods or help them expand their export market,” said Gov. Steve Sisolak. “I would encourage all business owners to attend this meeting to learn more about how the STEP grant can help their businesses thrive.”
GOED approves applications for the funding through the Small Business Administration’s (SBA) STEP grant. Businesses can get awards up to $5,000 to assist with pre-approved export expenses such as foreign market sales trips, trade show activities, international marketing materials, export trade show exhibits, overseas interpreters and training workshops.
“Small businesses fuel Nevada’s economy and expanding into foreign markets will put them on a path to grow their businesses,” said GOED Interim Executive Director Kris Sanchez. “If a business is considering expanding into global trade, they should apply for a STEP grant.”
Many times, the only way for Nevada businesses to connect with buyers all over the world is to attend trade shows in foreign markets. The STEP grant can help defray the cost of a business owner attending trade shows and creating global market promotional materials for the business.
For more information about the Nevada GOED’s STEP grants or to apply, visit diversifynevada.com. The STEP program is funded in part through a grant with the SBA.
About the Governor’s Office of Economic Development
Created during the 2011 session of the Nevada Legislature, the Governor’s Office of Economic Development is the result of a collaborative effort between the Nevada Legislature and the Governor’s Office to restructure economic development in the state. GOED’s role is to promote a robust, diversified and prosperous economy in Nevada, to stimulate business expansion and retention, encourage entrepreneurial enterprise, attract new businesses and facilitate community development. More information on the Governor’s Office of Economic Development can be viewed at diversifynevada.com.