PORTLAND, Ore. — The second round of funding for the Paycheck Protection Program became available Monday morning.
It is good news for small businesses who are still in need of financial help, but experts said this second round of money could go as quickly as the first.
The U.S. Small Business Administration started accepting loan applications again at 7:30 a.m. PT Monday. However, with the backlog of applications from the first round, there was already a huge demand and there were reports the site crashed within minutes of reopening.
“It just never got submitted to the SBA before the funds went up, which was very disappointing on our end,” said small business owner Jon Gimre about his initial application for a loan.
Gimre runs Gimre’s Shoes in Hillsboro, the New Balance Store at Bridgeport Village, and stores in western Washington. He is one of many business owners who missed out on the initial funding for the Paycheck Protection Program.
“It's been emotionally draining,” Gimre said. “Initially it was very positive when we heard the program was available. Our thoughts were, 'Wow that's fantastic, that's really something that's going to make a difference and I can somewhat see a path going forward.'”
Gimre said his bank assured him his application would be submitted Monday.
Pok Pok Owner Andy Ricker did not get a loan in the first round either. KGW checked back in with him and he said he is still waiting to find out if he will get a loan as the $320 billion in additional funding is doled out.
It will be interesting to watch who gets loans. There was a lot of backlash the first time around as big businesses like Ruth’s Chris Steak House got a $20 million dollar loan through the Paycheck Protection Program. The company has since announced it is returning that money.
But that's part of the reason this second round of funding also includes about $60 billion for businesses like those in rural and minority areas, where people have trouble getting loans.
Regardless, experts think this additional funding could run out in a matter of days, leaving business owners like Gimre wondering if their loan applications will be approved fast enough.
“It's been very frustrating since the initial feeling of positiveness, It's kind of now got to the point where it's just, 'What's going to happen?' You just don't know,” Gimre said.