Small business loan program saves about 5.7M jobs amid coronavirus
Small business loan numbers continue to increase as part of the government’s coronavirus relief. FOX Business’ Edward Lawrence with more.
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A small business assistance program that's part of the coronavirus relief package Congress passed last month doesn't exclude chains like McDonald's because of a provision that offers loans to hotels and restaurants owned by big brands.
The Paycheck Protection Program is designed to get cash in the hands of struggling small businesses and incentivize them to keep staff on payroll, or re-hire workers who have already been laid off. Businesses with fewer than 500 employees are eligible for forgivable loans under the program.
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McDonald's locations are either corporate-owned or franchises, and it appears either kind of McDonald's restaurant could apply for PPP loans because the brand is in the Small Business Administration's Franchise Directory.
That poses an interesting situation in which a corporate McDonald's location could apply for the loan, although the company does not plan to make such a move. After all, McDonald's surpassed $100 billion in annual sales for the first time in 2019.