By Kennedy Rose  – Digital Producer, Philadelphia Business Journal

The City of Philadelphia and Goldman Sachs announced a $10 million initiative to provide Paycheck Protection Program (PPP) loans for local small businesses. 

The loans will be focused on small businesses in the region’s urban communities, including non-profit organizations, that have been unable to submit an application with an approved PPP lender. The loans will be offered through the initiative’s partnership with community development financial institution Lendistry. Businesses can apply for the loans here.

Minority-owned businesses are often underbanked in Philadelphia, and diverse chamber leaders said many of their members have had difficulty applying for PPP loans because of a lack of a relationship with lenders. PPP offers low-interest, forgivable loans from the U.S. Small Business Administration to assist businesses with payroll and other vital expenses during the coronavirus crisis. Congress approved an additional $320 billion in funding for the program this week after PPP’s initial $349 billion pool was exhausted amid intense demand.

“I’m grateful that, thanks to this partnership, Philadelphia’s small business owners will have more opportunities to secure vital funding needed to navigate this crisis and eventually rebound,” Mayor Jim Kenney said in a statement. 

Goldman Sachs brought its 10,000 Small Businesses Program to Philadelphia in 2013. The program helps small businesses grow and provides support through its cohort network. More than 500 Philadelphia businesses have graduated from the program.

Goldman Sachs and Lendistry announced a similar partnership with the City of Baltimore earlier this month. The bank committed $550 million to Covid-19 relief, including $500 million in capital to fund PPP loans and a $25 million grant to support community development financial institutions.

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