INDIANAPOLIS, Ind. – Small businesses in Indiana are in a rush to get relief from the federal government, but the money is coming in slower than expected.
“So the best analogy I’ve heard is that the government is building the plane while it’s taking off,” said Indiana Bankers Association President and CEO Amber Van Til.
The IBA said it is doing everything it can to get Paycheck Protection Program money to small businesses, but the PPP process had some hiccups when it was rolled out nearly one week ago.
“The Small Business Association only has 2,000 employees nationwide, and their system wasn’t prepared to take in 5,500 banks in the nation inputting as many applications in one day as it possibly could,” said Van Til.
Though many banks have gotten applications into the system, there are some who still haven’t been able to.
“It’s so frustrating as we seek to help our banks,” she explained.
Indiana U.S. Sen. Todd Young admitted things aren’t moving as quickly as expected.
“I absolutely understand the frustration, and improvements have been made since then. We’ve seen tens of billions of dollars that have already gone out the door and helping our small businesses and their workers,” said Young.
The IBA said once the application is approved by the SBA, it should be a 10-day turnaround. However, money is limited and won’t be granted to every applicant.
“The money is going quickly, but it is not gone, so folks shouldn’t begin to panic,” said Van Til.
Businesses are encouraged to work with their personal banker to turn in everything they need to get the application in as soon as possible. IBA is looking to the federal government to pass another round of PPP funding.
“We’re hopeful that they’ll be able to produce more funding,” said Van Til.
More small business relief is still being debated in Congress at this time.
When asked about potential state money for small businesses in Indiana, the IBA president said she agrees with Indiana focusing first on funding healthcare efforts during this time.
She encourages people to reach out to their members of congress if they are seeking more funds for small business relief.