J. Craig Gordon, Main Street Alliance, RON discussed on Marketplace

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House do whatever it is, they are doing about a new relief bill. We're learning more about how the last one played out specifically about the Paycheck protection program. A new congressional report says. The Treasury Department suggested banks favor their existing customers. When considering applications for PPP loans, which meant that a lot of businesses, especially companies owned by women and minorities. Kind of out of luck marketplaces. Justin Ho has that one. Back in April, J. Craig Gordon tried to apply through a bank for a P P P loan for the home Healthcare company. He Ron's in Savannah. It wasn't even a situation where we could even get on application in. He didn't have a relationship with that bank. He tried applying through another bank. No luck there, either. Gordon cut his own salary and put expansion plans on hold. The next layer of cuts, unfortunately, was gonna probably have to be some administrative layoffs. But thank goodness you know, we weren't in a situation where we have to get that hurdles. Like the one Gordon had to clear discouraged many black business owners from applying for PPP loans, says Amanda Valentine, executive director of the small business advocacy group Main Street Alliance. Black business owners were 50% more likely than white business owners to believe they wouldn't be approved. And we're three times more likely than white business owners to be unaware that the program even existed. A Main Street alliance poll found that almost half of black owned small businesses have either shut down already or will soon And even for those that managed to stay open the pandemic recession is likely to do long term damage, says Rashad Robinson, president of the racial justice, nonprofit color of Change. They maybe lose connections with some of their customers with the supply chain day before materials or other things necessary to keep the business alive and that damaged the businesses, Robinson says, makes black communities.

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