Banks get the green light for Main Street Lending Program
The Federal Reserve has officially launched its Main Street Lending Program, giving small and medium-sized businesses another valuable source of relief aid during the coronavirus crisis. Loan amounts range $250,000 – $300 million, have a five-year maturity, and have floating rates.
Businesses with fewer than 15,000 employees and less than $5 billion in annual revenue are eligible for loans through the Main Street Lending Program – but unlike the PPP, these loans do not come with an option for forgiveness.
The program was introduced more than two months ago, leaving many banks and business owners scratching their heads wondering when the funds would actually become available. Their long wait has ended.