PPP Loans Benefited Ocean City Businesses

Ocean City NJ

21 July, 2021

10:07 AM

Description

OCEAN CITY, NJ — Applications for the federal Paycheck Protection Program have closed after benefiting more than 11.8 million pandemic-stricken businesses, including many in Ocean City. 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 153,261 PPP loans approved in New Jersey in 2021 alone, according to the Small Business Administration. The total 2021 amount approved was $8,412,871,701. 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 Ocean City businesses that benefited from the program according to the SBA. Check here for a full, searchable database. MANCO AND MANCO INC. Ocean City, NJ, 08226 Approval amount: $1,792,500 Jobs reported: 100 THE FLANDERS CONDOMINIUM ASSOCATION Ocean City, NJ, 08226 Approval amount: $887,537 Jobs reported: 51 THOMAS H. HEIST INSURANCE AGENCY Ocean City, NJ, 08226 Approval amount: $825,557 Jobs reported: 60 Forgiveness amount: $830,006 S & T AMUSEMENT CO Ocean City, NJ, 08226 Approval amount: $678,060 Jobs reported: 100 AMERICA CONVENTION EXHIBITOR SERVICE, LL Ocean City, NJ, 08226 Approval amount: $581,893 Jobs reported: 12 AMERICAN CONVENTIONS EXHIBITOR SERVICE LLC Ocean City, NJ, 08226 Approval amount: $581,892 Jobs reported: 161 GILAMCO, INC. Ocean City, NJ, 08226 Approval amount: $553,971 Jobs reported: 80 Forgiveness amount: $557,972 GILAMCO INC. Ocean City, NJ, 08226 Approval amount: $553,970 Jobs reported: 150 PMO INC Ocean City, NJ, 08226 Approval amount: $482,076 Jobs reported: 192 METAL STRUCTURES INC. Ocean City, NJ, 08226 Approval amount: $454,022 Jobs reported: 40 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].