Texas restaurants and businesses that are small the shaft on COVID-19 loans. Remarks on their post off their operators echoed their experience.
A federal help package for restaurants as well as other small enterprises went away from cash — yet not before some big companies got cut checks, while small enterprises got cut right out completely.
An element of the CARES Act stimulus system, the Paycheck Protection Program (PPP) had been a $350-billion package administered by the small company Administration and built to help organizations with 500 employees or less.
But lawmakers expanded eligibility for businesses so long as that they had 500 workers or less at any solitary location — paving the way in which for mega-companies like Ruth’s Hospitality Group, owner for the Ruth’s Chris Steakhouse string, which scored $20 million in loans; and Potbelly, which received a ten dollars million loan.
Meanwhile, based on the Texas Restaurant Association (TRA), a huge selection of little operators across Texas not just failed to get loans, these people were not really in a position to get a reaction.
Bar owner Reid Robinson, whom has Brizo in Richardson, claims he started using nearly instantly.
“I do not understand of a mom that is single pop music restaurant or club, including ourselves, whom received an SBA loan via the ironically called CARES Act program, although big chains like Ruth Chris, PotBelly, and Taco Cabana quickly secured millions,” he posted on Facebook. “We started using 2 days directly after we shut on March sixteenth, remained together with the day-to-day application modifications, together with most of our financials in an effort, but nada. (more…)