WORTHINGTON – First State Bank Southwest announced Friday that it has processed more than 187 loans totaling $ 16,700,000 under the Small Business Administration’s Paycheck Protection Program (PPP) to help local small businesses take on supported payroll and related costs, saving approximately 1,500 jobs within Nobles, Pipestone and Rock counties.
The average loan amount was around $ 73,300 as of May 22. The PPP, which was originally launched on April 3 to address the economic challenges caused by the COVID-19 pandemic, offers government-guaranteed forgivable loans to small businesses across the country, which roughly represent 48% of the American workforce.
“As relationship bankers and dedicated members of this community, we do all we can to protect the strength of our small businesses, which serve as the economic engines of our local economy,” said Greg R. Raymo, CEO of First State Bank Southwest. . “I am very proud of our staff, who worked tirelessly to process these loans and ensure that essential funds could reach those who needed them most. We will continue to process requests until all remaining PPP funds are accounted for. “
“Community banks have stepped in to help local small businesses – something they do in both good times and tough times,” said Rebeca Romero Rainey, president and CEO of Independent Community Bankers of America. “Providing more than half of the loans to small businesses nationwide, community banks prioritize the needs of their local customers and communities and adapt and respond quickly in times of crisis. By providing the lion’s share of PPP loans, community banks have played a vital role in helping small businesses survive amid COVID-19, while saving countless jobs across our country. ”
According to Summary of the SBA of loan approvals through May 16, lenders with less than $ 50 billion in assets accounted for nearly 65% of approved loans – for a total of $ 4.3 million – and more than 62% of the amount approved in dollars , estimated at $ 513 billion since the launch of the PPP. Nationally, community banks have received an average of nearly 200 loan applications under the program, ranging in size from under $ 50,000 to over $ 500,000, according to a recent ICBA. investigation.
To learn more about community banks, visit www.banklocally.org.