Fed Grants For Small Businesses Run Out
Hawaii firms that acted fast got more than $1.6 billion to pay workers.
The well ran dry on Hawaii’s share of , but not before some 7,500 Hawaii firms had landed more than $1.6 billion, the head of the state’s banking association said.
The state’s banks are still putting together a final tally, said Neal Okabayashi, executive director of the Hawaii Bankers Association. But earlier this week the banks reported the collective total of $1.6 billion. Okabayashi said Congress is considering more funding for the program, known as the Paycheck Protection Program. It provided companies up to 2.5 times their monthly payroll.
The loans were forgivable if used to pay workers and cover certain bills, like leases and utilities, which made the loans more like grants. Non-forgivable amounts carried 1% interest rates payable over 15 or 30 years.
A major question was whether Hawaii banks and borrowers would apply for and process loans fast enough to seize a fair share of the money, which was distributed nationally case by case. Okabayashi said Hawaii has exceeded some expectations of what the state could land.
“The Hawaii banks did really well,” he said.
