Loan Money Runs Out While Small-Business Owners Wait in Line [The New York Times]
Morgan Stanley (MS)
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Source: The New York Times
The $349 billion government program meant to keep small businesses afloat during the pandemic and economic meltdown ran out of money on Thursday — even as many small-business owners were desperately trying to apply for loans. Now they are trying to figure out how to keep their businesses alive while Congress negotiates the possible release of additional rescue funds.The program, administered by the Small Business Administration through participating banks, was marred by technical glitches from the start, even as overwhelming demand and confusion about how it would all work slowed down the approval process. Around the country, would-be borrowers were turned away by banks because there were too many applicants. Some lost valuable time because their bankers didn’t know all the details about how the program would work, while others couldn’t find a lender that would deal with them.Doug Martin, a sports marketer in Long Beach, Calif., approached three banks to try to get a loan through the
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