Federal Reserve Announces COVID-19 Loan Program for Small to Mid-Sized Businesses

The US Federal Reserve System announced last week that it would provide up to $2.3 trillion in loans to help stimulate the national economy during the COVID-19 crisis. One of the financial assistance programs aimed specifically at helping small to mid-sized businesses is the Main Street Lending Program.

Main Street Lending Program
This program will finance four-year loans to businesses with up to 10,000 employees, or with revenues less than $2.5 billion that were in good financial standing before the crisis. Commercial banks will issue the loans, and principal and interest payments are deferred for a year. Businesses that are planning to use a Paycheck Protection Program loan may also take out a Main Street loan.

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