The Second Round of the PPP Still Going as Demand Cools

Many people thought, including your LendIt editors, that the $310 billion allocated for the second round of the Paycheck Protection Program would be gone in days; but after almost two weeks there is still more than 40% of the funds remaining; there are several reasons for the drop in demand; many borrowers sought duplicate loans from several lenders with some lenders reporting 10% of their applications were duplicates; the Treasury Department also limited public companies and others who could obtain funding from elsewhere; but the biggest reason, according to the WSJ, is that the program does not meet the needs of all small businesses; some small business owners are waiting clarity on the loan forgiveness program, some have low payroll costs compared to other expenses and others are having difficulty hiring back their team; Senator Marco Rubio (R-FL), the main architect of the PPP, said that he is pushing Treasury to issue clear guidance on loan forgiveness for the 75% payroll requirement. The Wall Street Journal

  • Emily Donato

    With efforts in many different areas of the team, she helps manage, organize and execute digital and event content. She works with webinars, podcasts, social media along with managing the hundreds of speakers that attend our conferences. Emily was a part of the Zimmerman Advertising Program at the University of South Florida. She graduated in 2019 receiving a Bachelor of Science in Business Advertising.