Small business loan program hopes to provide financial relief

Coronavirus

RICHMOND, Va. (WRIC) – As small business throughout the country are depleted as a result of COVID-19, the largest small business loan program aims to help, according to the Small Business Administration.

The gesture is not without difficulties, however.

With financial hardships hitting small businesses throughout the area, the Small Business Administration adopted a new program to help bring financial relief and assistance to businesses struggling to pay rent, their employees and other expenses.

“This is a plan that’s meant to be a lifeline for small businesses across Virginia and across the country,” said Rep. Abigail Spanberger in a video interview Friday.

The Paycheck Protection Program, which was approved a week ago with the Cares Act, now allows businesses to apply for the loan program with any lender.

Rep. Spanberger says her office has been receiving calls from people who are having trouble with the process and the lenders with serious lack of knowledge.

“There isn’t a lot of clarity on how these small businesses can go about applying, and we’ve already heard some lenders have already made applications available. Some say that they’re coming,” the state representative said.

8News asked Rep. Spanberger what happens if businesses are having trouble getting their hands on the new loan program ?

“Despite this crisis and despite the hurdles that have already been placed in front of him, I hope he will continue to show the same persistence that he clearly had when he decided to start a small business and follow that dream. Because this PPP, these forgivable loans are available.”

And she’s hoping all lenders get behind the same message those who voted for the loan program “we are all in this together to ensure that our communities small businesses can stay afloat during this very, very difficult time.”

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