PPP Loans Benefited College Park Businesses

College Park MD

21 July, 2021

10:00 AM

Description

COLLEGE PARK, MD — Applications for the federal Paycheck Protection Program have closed after benefiting more than 11.8 million pandemic-stricken businesses, including many in College Park. 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 111,317 PPP loans approved in Maryland in 2021 alone, according to the Small Business Administration. The total 2021 amount approved was $5,105,480,074. 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 College Park businesses that benefited from the program according to the SBA. Check here for a full, searchable database. IMPORTED CARS OF MARYLAND INC College Park, MD, 20740 Approval amount: $2,611,700 Jobs reported: 150 Forgiveness amount: $2,641,880 LA PRIMA FOOD GROUP INC. College Park, MD, 20740 Approval amount: $1,989,834 Jobs reported: 40 LA PRIMA FOOD GROUP College Park, MD, 20740 Approval amount: $1,421,312 Jobs reported: 150 CASTLE SPRINKLER AND ALARM, INC. College Park, MD, 20740 Approval amount: $1,053,600 Jobs reported: 72 Forgiveness amount: $1,065,073 CASTLE SPRINKLER AND ALARM INC. College Park, MD, 20740 Approval amount: $1,031,325 Jobs reported: 61 AL-HUDA INC. College Park, MD, 20740 Approval amount: $816,332 Jobs reported: 123 Undisbursed amount: $816,332 FRIENDS COMMUNITY SCHOOL, INC. College Park, MD, 20740 Approval amount: $767,000 Jobs reported: 66 Forgiveness amount: $773,669 AL HUDA INC College Park, MD, 20740 Approval amount: $766,606 Jobs reported: 134 Forgiveness amount: $772,445 JUNIOR TENNIS CHAMPIONS CENTER INC College Park, MD, 20740 Approval amount: $753,200 Jobs reported: 73 JUNIOR TENNIS CHAMPIONS CENTER College Park, MD, 20740 Approval amount: $753,200 Jobs reported: 73 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].