The well has mostly run dry for the Paycheck Protection Program.
The U.S. Small Business Administration announced that the PPP funding has been largely depleted ahead of its scheduled closure on May 31. The program provides loans for small businesses designed to keep workers on payroll.
Due to the depleted funding, the SBA will not be accepting new applications but will still fund outstanding applications that have already been approved. However, the SBA will continue to accept new applications from community financial institutions.
According to the SBA, there have 10,784,438 loans approved through the PPP program, totaling $780,473,244,140. In 2021 alone, the SBA has approved 5,61,576 loans for $258,225,607,900.
In 2021, the majority of PPP loans have been second draw loans, totaling $200,959,156,192. As of May 2, first draw loans totaled $57,266,451,708.
First draw loans are available to sole proprietors, independent contractors and self-employed individuals; small businesses that meet SBA size standards; and businesses, nonprofits, veterans organizations or tribal businesses that have 500 employees or meet the SBA industry size standard if they have more than 500 employees. These loans are available to these businesses and individuals if they have not received a PPP loan before.
In Arkansas, there have been 51,516 loans approved in 2021 for a net amount of $1,569,456,379.