PPP Loans Benefited Memphis Businesses

Memphis TN

21 July, 2021

10:12 AM

Description

MEMPHIS, TN — Applications for the federal Paycheck Protection Program have closed after benefiting more than 11.8 million pandemic-stricken businesses, including many in Memphis. The Paycheck Protection Program started in April 2020 as part of the Coronavirus Aid, Relief, and Economic Security Act (CARES), and was extended until May 31, 2021. There were 138,929 PPP loans approved in Tennessee in 2021 alone, according to the Small Business Administration. The total 2021 amount approved was $4,552,364,106. Loan applications were processed through banks and other traditional lenders, with the SBA backing the resulting loans. Around $800 billion in loans were approved nationwide under the program. The loans are forgivable if borrowers meet certain criteria, including spending at least 60 percent of the money on payroll costs and maintaining employee compensation levels. Below are some Memphis businesses that benefited from the program according to the SBA. Check here for a full, searchable database. YMCA OF MEMPHIS & THE MID-SOUTH Cordova, TN, 38016 Approval amount: $2,813,067 Jobs reported: 299 ABSOLUTE STORAGE MANAGEMENT, INC. Cordova, TN, 38016 Approval amount: $1,840,500 Jobs reported: 257 Forgiveness amount: $1,856,787 A2H, INC. Lakeland, TN, 38002 Approval amount: $1,455,261 Jobs reported: 99 Forgiveness amount: $1,465,973 ELITE MEDICAL, LLC Cordova, TN, 38016 Approval amount: $1,297,600 Jobs reported: 101 Forgiveness amount: $1,308,413 WEST TENNESSEE FAMILY SOLUTIONS INC. Cordova, TN, 38016 Approval amount: $1,146,642 Jobs reported: 200 Forgiveness amount: $1,155,658 J AND J CONSTRUCTION Cordova, TN, 38016 Approval amount: $856,930 Jobs reported: 8 ST. FRANCIS OF ASSISI CATHOLIC CHURCH/CATHOLIC BISHOP OF MEM Cordova, TN, 38016 Approval amount: $814,020 Jobs reported: 112 Forgiveness amount: $823,562 ALICIA BEAUTY SALON Arlington, TN, 38002 Approval amount: $785,410 Jobs reported: 149 Forgiveness amount: $789,705 MID-AMERICA BAPTIST THEOLOGICAL SEMINARY Cordova, TN, 38016 Approval amount: $734,398 Jobs reported: 32 Forgiveness amount: $741,660 MID-AMERICA BAPTIST THEOLOGICAL SEMINARY Cordova, TN, 38016 Approval amount: $704,804 Jobs reported: 32 Nationally, the accommodation/food service industry received the largest share of loans in 2021, with 15 percent of the total. Around 87 percent of the loans approved in 2021 were for $50,000 or less, and they accounted for a third of the total approved amount. The average loan size was $42,000. The program wasn't without controversy. Banks tended to prioritize large, established businesses, according to a New York Times analysis. Congress raised fees for small loans in December to encourage lenders to make small business loans, and rules were changed in February to allow unprofitable solo businesses to qualify. Several large companies drew public ire after it was revealed that they took PPP loans instead of relying on traditional capital-raising activities. The outcry prompted the SBA to review all loan applications over $2 million and issue guidance that the program was intended for businesses that lacked access to other cash-raising methods. Editor's note: This list was automatically generated using data from the SBA for approved loans of $150,000 or more, although some loans ultimately were not made. Business owners can contact the SBA if information about a loan isn't correct. SBA data occasionally contains duplicate entries. Other feedback can be sent to [email protected].