Missouri banks provide $6.4 billion to small businesses through paycheck protection program
JEFFERSON CITY, Mo. — Nearly 34,100 small businesses in Missouri are receiving more than $6.4 billion to help support their employees and business operations affected by the COVID-19 pandemic.
These funds were made available to small businesses through the Paycheck Protection Program, a $349 billion relief measure included in the CARES Act passed by Congress on March 27. The Small Business Administration began accepting PPP loan applications April 3. Since then, banks throughout Missouri have worked diligently to submit business customers’ applications.
“Banks across Missouri have worked around the clock 24/7 to submit their customers’ applications for the Paycheck Protection Program to ensure they have resources to pay their employees and remain viable in their communities during this time,” said Max Cook, president and CEO of the Missouri Bankers Association.
SBA figures released April 13 show 34,088 loans were approved for Missouri small businesses, resulting in $6,433,368,771 approved loans. Missouri ranks eighth in loans approved and 14th in dollars approved among U.S. states, the District of Columbia and U.S. territories.
Three days later, SBA announced April 16 that all the funds in the PPP — $350 billion — have been exhausted and that it is no longer accepting applications for PPP loans.
MBA, along with the American Bankers Association, is urging Missouri federal lawmakers and Congress to immediately to authorize new PPP funding to meet the payroll needs of small businesses struggling during the coronavirus pandemic. Bankers and their small business customers can contact their lawmakers at 202-224-3121 to emphasize that more funding is needed right away.
“Missouri banks are committed to helping their business customers even though PPP funds are exhausted. They worked one-on-one with their customers to find solutions before PPP became available and continue to do so,” Cook said. “Quick congressional action for additional PPP funding will allow banks to continue to distribute these desperately needed funds to small businesses, which form the economic core of our communities.”
The Missouri Bankers Association is a statewide trade and professional organization in Jefferson City that represents the interests of more than 245 banks and savings and loans in Missouri. MBA serves as the principal advocate for the Missouri banking community and provides educational opportunities, products and services that assist bankers with enhancing their banking operations. For more information, visit mobankers.com. Follow MBA on Twitter at @mobankers.com.