As I am sure you know, the COVID-19 pandemic has had a major impact on small businesses across almost every industry. I’d like to take some time today to talk about how we are helping businesses in the community. In a time when many larger financial institutions are struggling to serve small businesses, we are responding quickly and providing impactful solutions for them.
As a Small Business Administration (SBA) lender, we are able to offer Paycheck Protection Program (PPP) loans.These loans provide small businesses with financing to pay up to eight weeks of payroll costs (including benefits). I am proud to say we have already processed over $22 million in loans to local businesses. By leveraging our custom technology we are able to provide quick approval and funding. Larger lenders are struggling to maintain pace because they have not invested in creating a flexible infrastructure that allows for fast, dynamic changes. In fact, we’ve heard from many businesses that other lenders have been completely non-responsive. Because we are more agile, we are able to help local businesses get through this pandemic better than our competitors.
In addition to the PPP loans, we also offer a full portfolio of business products and services. Our business lending products offer lower equity requirements and longer terms than conventional loans, which are essential to help local businesses during this pandemic. If you did not know already, small businesses impacted by COVID-19 are eligible for up to $2 million in SBA emergency relief loans. I encourage you to contact our business lending team if you are in need of assistance or interested in learning more about the current relief options for businesses.
To help educate our members about small business relief options, we’ve begun hosting online webinars with important information and Q&A opportunities. During our first online webinar for small businesses in early April, our experts talked about the PPP and addressed concerns by answering questions from the audience. After the success of this event, we hosted a second webinar discussing the Families First Coronavirus Response Act (FFCRA). The ways we reach the community may change, but our commitment will never change. Now more than ever it is important to stay connected. You can expect to see more of these webinars for both businesses and consumers throughout the year.
I am also happy to report that we have experienced no disruptions to our operations. You can schedule Nutmeg branch appointments and DMV Express appointments online if you need in-person assistance, but remember that your safest option right now is to do your banking online. I strongly encourage you to take advantage of all our electronic services and bank remotely during this time. As restrictions are slowly lifted and you find yourself going out more frequently, be sure to take advantage of contactless payments. You can make payments at retailers without having to touch keypads or card machines. Mobile Pay allows you to pay using your Nutmeg cards through your mobile phone without having to touch any public equipment. Contactless payments will be your safest option when conducting in-person transactions.
Be sure to stay informed by visiting our COVID-19 Resource Center located on the homepage of our website www.nutmegstatefcu.org. As always, we thank you for the opportunity to serve you, your family and all our local businesses.
President & CEO