President Donald Trump signed the Paycheck Protection Program … Act on Friday. It’s the sequel to PPP Part 1.
The theme of both was to provide forgivable loans to small businesses, allowing them to rehire or maintain workforces during the COVID-19 pandemic.
COVID-19 stands for Corona Virus Disease 2019.
The program’s Part 1 ran out of funding, which is being dispensed in cooperation between the Small Business Association and financial institutions, in a matter of days after it became available.
That led to Part 2, for which the SBA will resume accepting and processing applications today.
To date the program has protected 30 million jobs at more than 1.66 million small businesses, according to an SBA press release. Part 2 will add to those numbers.
The best way forward is to gradually expand the economy from its constricted circumstances of the past several weeks. Jobs create a sense of well-being for both businesses and workers. Not to mention that unemployed workers deal with health issues beyond COVID-19.
The PPP is a much-needed hand up. That’s what the SBA does; it helps businesses start, grow, expand, and recover from disasters, of which the coronavirus is an epic.
Trump is a businessman, who as president achieved a record low 3.5% unemployment in February. It increased drastically since then because of COVID-19. If he expects a second round in the Oval Office, the number will have to drop again over the next six months’ campaign season for the presidential election.