Retailers Call Additional Funding for Small Business Loans ‘Important Step on the Path to Recovery’
WASHINGTON–(BUSINESS WIRE)–The National Retail Federation today welcomed House action on legislation to increase funding for loans to small businesses during the coronavirus pandemic.
“There are many small retailers that won’t be in business by the time the economy reopens if these loans dry up,” NRF President and CEO Matthew Shay said. “This funding will let them keep their workers on the payroll and help the economy avoid the ripple effects that will come if additional businesses cease to operate and more people lose their jobs. This is an important step on the path to recovery not just for these businesses but our nation as a whole. It will ensure that businesses that couldn’t participate in the first round of loans aren’t left out.”
The House is scheduled to vote today on the Paycheck Protection Program and Health Care Enhancement Act, which would provide an additional $300 billion for Small Business Administration loans beyond the original $350 billion funded under the Coronavirus Aid, Relief and Economic Security Act signed into law last month. Additional money would go to hospitals, testing and other needs. The legislation was approved by the Senate earlier this week and President Trump has said he will sign it into law.
Nearly 200,000 small retailers have taken part in the Paycheck Protection Program, receiving an average loan of $155,000 each for a total of $29 billion, but funds have run out and the SBA is no longer accepting new applications.
The National Retail Federation, the world’s largest retail trade association, passionately advocates for the people, brands, policies and ideas that help retail thrive. From its headquarters in Washington, D.C., NRF empowers the industry that powers the economy. Retail is the nation’s largest private-sector employer, contributing $3.9 trillion to annual GDP and supporting one in four U.S. jobs — 52 million working Americans. For over a century, NRF has been a voice for every retailer and every retail job, educating, inspiring and communicating the powerful impact retail has on local communities and global economies.