Less than two weeks after releasing additional details and a new set of FAQs, the Federal Reserve announced more key updates to the terms of the Main Street Lending Program on June 8. By covering a wider range of loan amounts, expanding loan terms and extending repayment periods, the Federal Reserve is hoping to broaden the program’s appeal and expand access to a greater number of small- and medium-sized businesses. Federal Reserve Chair Jerome Powell explained that these updates are intended to “help foster a broad-based economic recovery” and “improve the ability of the Main Street Lending Program to support employment during this difficult period.”
To help you navigate the evolving landscape of this important federal program, the new loan terms are highlighted in the chart below.
Adam and Reese’s previous alert on the available federal loan programs for businesses provides more detail on the various loan options and requirements as businesses are starting to recover.
Our COVID-19 Task Force will continue to ever-changing landscape of options and issues for businesses to consider as we navigate through the pandemic and beyond.