Kabbage Becomes a Major Force in PPP Lending

After pausing new lending in March Kabbage pivoted to focus on the Paycheck Protection Program and in doing so has become one of the largest lenders in the country; the company has processed more than 130,000 loans, mostly to businesses with five or fewer employees; their average loan size is $29,000 compared with the program’s average of $113,000; more than 90% of the applications they processed for self-employed businesses were automated and many applicants received SBA approval the same day; earlier this week the company launched a PPP application just for Uber drivers to make the process easier for them; CEO Rob Frohwein said, “The gratitude we’ve received from customers we helped is kind of overwhelming. We think a large number will work with us on a go-forward basis.” CNBC