Ohio Businesses Get $4.71B So Far in PPP Round 2
YOUNGSTOWN, Ohio – Ohio businesses have been approved to receive $4.71 billion from the second round of funding of the Paycheck Protection Program, the Small Business Administration reported Sunday.
Since the second round opened April 27, 118,634 businesses in the state have been approved for the loans, totaling $4,712,846,309. In the first round of the PPP, which was open April 3 to April 16, Ohio businesses received $14,108,889,927.
Financial institutions have 10 days to deliver funds after a business is approved by the SBA.
“In the Great Lakes Region, in one week, we have already surpassed our total first round PPP loan numbers by nearly 10,000 and loans continue to be processed. Overall, more than $88 billion in emergency capital via the PPP already has been approved to help small businesses and non-profits affected by COVID-19 in the six states,” said the SBA’s Great Lakes Regional Administrator, Rob Scott, in a statement. “We are dedicated to supporting them and are tirelessly working to ensure money is getting out to those that need it during these challenging times.”
The number of businesses funded in Ohio is second only to Illinois, which has 159,628 businesses approved, in the region. In terms of total funding in the second round, Ohio ranks third, behind Illinois at $6.58 billion, and Michigan at $5.56 billion.
Across the two rounds of funding, Ohio businesses have received $18.82 billion.
Nationally, the SBA has approved 2.2 million PPP applications in the first week of Round Two, surpassing the 1.6 million loans approved in Round One. The average loan size in the second round of the PPP is $79,000, down significantly from the $206,000 average in Round One.
“The Paycheck Protection Program is providing critical support to millions of small businesses and tens of millions of hardworking Americans,” said SBA Administrator Jovita Carranza and Treasury Secretary Steven Mnuchin in a joint statement.
“Nearly 500,000 of the loans were made by lenders with less than $1 billion in assets and non-banks,” they continued. “These lenders include community development financial institutions, certified development companies, microlenders, farm credit lending institutions, and [financial technology companies]. Over 850,000 loans—about one third of the 2.2 million loans—were made by lenders with $10 billion of assets or less.”
Copyright 2020 The Business Journal, Youngstown, Ohio.