Coronavirus relief bill to contain funding for SBA loans

LAKE MARY, Fla. — Lawmakers on Capitol Hill appear to be in agreement over a $2 trillion stimulus bill to help the U.S. economy recover from the COVID 19 coronavirus pandemic.

The bill is intended to provide relief for small businesses shuttered as communities fight the spread of the virus.

Included in the Coronavirus Aid, Relief, and Economic Security (CARES) Act is more money for the Small Business Administration to offer loans to small businesses.

One of the nation's largest SBA lenders is Fountainhead Commercial Capital, based in Lake Mary.

The founder of the company, Chris Hurn, spoke to News 96.5 WDBO about how small business owners in Central Florida can benefit from a particular loan program offered by the SBA that will receive a significant financial boost because of the CARES Act.

“We’re going to have $300 billion of additional lending authority passed through SBA to do what will be called SBA 7(a) relief loans, said Hurn.

He says the program has never been tested like it will be in the coming months.

“To put that in perspective, the best (fiscal) year of the SBA’s 7(a) program, they did about $29 billion, so this is more than 11 times it and it will be put to work over the next nine months, so in three fourths the time, said Hurn.

He says the loans are essentially meant to “prop up” small businesses temporarily to meet payroll or pay bills until the economy fully recovers.

To apply for a loan from the Small Business Association, click HERE.