SIDNEY – Mutual Federal processed $18 million in Payroll Safety Program loans as a part of an effort to forestall small companies from closing or shedding staff throughout the COVID-19 pandemic.
The Sidney bank facilitated 103 PPP loans with roughly 95 p.c of them going to companies in Shelby and Miami counties, Mutual Federal President Dean Weinert mentioned.
“Hopefully we kept some businesses afloat that might not have been otherwise,” he mentioned. “I think we would have seen some failures without this.”
Congress created the Payroll Safety Program in March to help small companies that had been negatively affected by the pandemic by offering them with funds for payroll and different working bills.
In keeping with the Small Enterprise Administration, which is in control of this system, 5,512 lenders nationwide have authorized 4,460,265 loans for a complete of greater than $510 billion. Nationally, the typical loan dimension has been $114,463 whereas Mutual Federal’s loans averaged roughly $170,000.
Many of the loans dealt with by Mutual Federal, an SBA licensed lender, had been processed throughout the first week of this system and usually had been authorized in three days.
“It was definitely a quick turnaround,” Weinert mentioned. “It kept our people busy. But certainly worth it, we think.”
The Payroll Safety Program gives loan forgiveness to firms that meet situations akin to spending their cash inside an eight-week window and spending no less than 75 p.c of the cash on payroll.
Mutual Federal facilitated PPP loans to quite a lot of firms together with producers, retailers, eating places and repair entities.
“We put this as the No. 1 priority,” Weinert mentioned. “We still think small business in the backbone of our community and the country.”
Mutual Federal is a division of First Bank Richmond, of Richmond, Indiana. First Bank Richmond has processed nearly 440 PPP loans totaling roughly $65 million to small companies in Ohio and Indiana.
The Payroll Safety Program is unprecedented in its scope and the velocity at which it moved, Weinert mentioned. And it got here at a time when Mutual Federal already was swamped by mortgage refinance purposes from individuals attempting to benefit from low charges, he mentioned.
“It took a lot of hours,” the Mutual Federal president mentioned. “We worked well into the night every night and early mornings to get them done.”
Whereas financial uncertainty stays and nobody appears to be comfy but, Weinert mentioned, he’s hopeful that the financial system is beginning to get better.
“I think there’s some optimism out there that we’re starting to turn a corner,” he mentioned. “Maybe we can see the light at the end of the tunnel.”
For extra details about Mutual Federal, go to www.mutualbancorp.com or name 937-498-1195.
Attain the author at [email protected] or 937-538-4824.