Unity National and ALC offer PPP2 loans
Two other lenders have confirmed their participation in the second round of the Paycheck Protection Program, giving hope to more minority-owned US businesses and small businesses.
Following criticism that the first round of the program was administered disproportionately, neglecting small businesses and small businesses, Congress expanded the program, making those businesses a supporting priority.
Houston-based Unity National Bank, one of only two African-American-owned banking institutions with a national banking charter, expands reach through new partnership with Cross River Bank, while American Lending Center (ALC) will also distribute funds.
During the first round of the Paycheck Protection Program, Unity served nearly 500 small businesses. The lender aims to reach even more small businesses this time around, including minority-owned businesses through its partnership with New Jersey-based Cross River Bank.
ALC, meanwhile, has processed more than 500 PPP loan applications since the initial approval last year, with nearly 89% of loan recipients belonging to minorities or women-owned businesses. About 60% were self-employed.
ALC works with multilingual accountants (CPAs) and financial advisors to expand the accessibility and availability of vital state funding for some of America’s most vulnerable businesses.
John Shen, COO of ALC, hailed Congressional awareness of the need to focus on relieving small businesses in the latest round of stimulus. He hopes the company’s latest announcement will serve even more minority-owned businesses for which loans previously seemed inaccessible.
“We are delighted to partner with financial institutions and network with other professional entities capable of supporting all Americans and further stimulating major local economies,” he added. he added.
The PPP deadline for the second draw To “Ask and receive” a PPP Second Draw loan is March 31, 2021.
The second round of PPP loans also aims to improve access to small businesses on the lower bracket of annual income. Many companies with fewer than 20 employees felt they had been squeezed out early by large companies as a priority, especially for the country’s biggest banks.