LA Small Businesses Hopeful As Congress Moves To Approve More Emergency Federal Funding
LOS ANGELES (CBSLA) -- After not receiving a loan from the initial paycheck protection program funding, many small businesses are hoping for a more successful take two.
"We heard from Chase Bank we are on our way to getting approval, we're just waiting for the extra funding," said the owner of Miss Melodee Dance Studio in the San Fernando Valley. Her business was among those that did not receive any funding from the initial round of loans.
The new federal relief package announced today by President Trump include $370 billion more for small businesses. He said Congress is set to approve the package in the coming days.
"It seems like they're moving as fast as they can...but it does seem a bit unorganized," she said. "It does seem like there's not a lot of leadership guiding where things are supposed to be going."
While some small business owners received no money from the first round of loans, they watched large corporations — like the owners of Ruth's Chris Steakhouse chain — receive millions. Treasury Secretary Steven Mnuchin said more regulations will be put in place this time around to prevent corporations from receiving the PPP funding. Those large businesses that have already received loans will be asked to give them back.
"I'm not overly excited yet," said Jeff Kyle, who owns Cookie Cutters hair salon in Manhattan Beach. He also missed out on the initial round of loans.
"Until we actually see the money in the bank, we're still going to be holding on with both hands until this thing passes," he said.