Trump signs bill updating forgivable loans program for small businesses
WASHINGTON — President Donald Trump on Friday signed into law a new version of the small business loan program known as PPP.The new law, called the Paycheck Protection Program Flexibility Act, reshaped the forgivable loans Congress created in late March as the coronavirus pandemic forced many businesses to shut down and layoff workers.It now lets businesses qualify for loan forgiveness up to $10 million if they meet certain criteria. And it extended the period in which business can spend funds in order to have them forgiven.As well, Businesses forced to shut down during the pandemic now have m...
Star Tribune (Minneapolis)
Thousands of owners of McDonald's and other big franchises get PPP loans; independent eateries fight back
ORLANDO, Fla. — Struggling to hang on through the coronavirus crisis, Omelet Bar has had to let go of most of its three dozen employees. But the owner of the independent brunch spot near the University of Central Florida hopes a small-business loan from the federal government will help his business stay afloat.“I’m down to a minimum crew,” said Tarek Kanso, a UCF graduate who started Omelet Bar three years ago. “This money would help me bring more of the crew back to work and help with bills and maybe rent if there’s anything left over after that.”Kanso said he is still waiting for his “Payche...
GM hopes to stockpile billions more in cash from a one-day bond sale
General Motors sold bonds for the first time Thursday since 2018 in a one-day offering to stockpile cash amid the uncertain market conditions during the coronavirus pandemic.The automaker said it offered senior unsecured fixed-rate notes, in other words, bonds, to investors on Thursday only.At the end of the sale, GM said the pricing of three series of notes raised $4 billion. The offering is expected to settle on May 12.After the closing of the notes offering, GM said it expects to enter into a new 364-day revolving credit agreement that will provide it borrowing capacity of $2 billion. GM sa...
Detroit Free Press
Wobbly restart for small business loan program
The federal government fumbled the reboot of the popular Paycheck Protection Program on Monday, with bankers saying just a fraction of loan applications managed to get through a balky system at the U.S. Small Business Administration.“We heard from small banks, large banks and midsize banks that they all had a ton of trouble,” said Joe Witt, president of the Minnesota Bankers Association. “It was an equal opportunity problem, unfortunately.”Some banks spent hours trying to get a single application through the system. Others sent their lending teams home during the day and told them to come back...
Star Tribune (Minneapolis)