The Small Business Administration (SBA) is the U.S. agency that provides support to entrepreneurs and small businesses. It has added two major fintech companies PayPal and Intuit for its emergency coronavirus lending program.
The SBA has initiated the emergency lending program to support small businesses during the current economic slowdown caused by the COVID-19 pandemic. It is a $350 billion emergency loan program started by the government.
According to CNBC’s coverage, both of these fintech companies announced their inclusion in the lending program on April 10 as soon as SBA approved them.
PayPal and Intuit to distribute funds
PayPal and Intuit are now a part of the SBA’s COVID-19 loan program. Their job is to distribute funds between small businesses as they are facing a huge economic slowdown amid the coronavirus outbreak. They will pave the way for small businesses. These funds will help them to survive their economic situation.
The President and CEO at PayPal, Dan Schulman is very pleased on getting approval from the SBA agency and writes in a LinkedIn post:
“We are eager to deploy our capital and expertise to do our part in helping small businesses survive this challenging period. The first loans have been applied for and issued. We expect more loans to be issued in the coming days.”
As per the announcement, Intuit is going to take part in the program via its QuickBooks Capital subsidiary. The EVP and GM of QuickBooks, Alex Chriss stated that QuickBooks Capital will assist applicants by automating the application process to give them quick relief and also it will help small businesses to get relief in the current economic situation.
According to Alex:
“As the financial source of truth for millions of small businesses, we have a unique opportunity to help remove friction from the system. QuickBooks Capital will automate much of the application process so small businesses and other eligible applicants get relief quickly. Our customers are resilient but they are suffering. Thanks to the work done by the government to pass a massive relief bill, we will apply our resources to help small businesses access the relief they need.”
The Coronavirus crisis has hit small businesses very hard and they need urgent help so that they could survive this crisis. It is also a great opportunity for PayPal and Intuit to make use of their services.