The lobbying efforts of an alliance known as Financial Innovation Now, has finally paid off, as PayPal, Intuit & Square have all been approved to participate in the U.S. Small Business Administration’s (SBA) Paycheck Protection Program, it provides aide in the form of forgivable loans. These forgivable loans are for small businesses that keep all employees on their payroll for atleast two months. The $350 billion small business loan program is a part of Congress $2 trillion COVID-19 stimulus package, it is aid at those businesses with fewer than 500 employees.
Since 2013, PayPal has provided loans and cash advances to business owners. Those efforts to date have provided access to more than $15 billion in funding for over 305,000 small businesses. PayPal become the first non-bank institution to be approved to distribute loans under the SBA Program. Intuit and Square followed as approved by the government to provide loans for small businesses. Financial Innovation Now leader wrote to lawmakers about these specific companies because of their ability to “reach those businesses most vulnerable, in a more timely fashion than traditional financial institutions.”