How the PPP loan helped | New
More than a year after COVID-19 shut down businesses and left organizations to scramble as restrictions limited what they could do, many businesses say they have the Paycheck Protection Program Loan ( PPP) to thank for their survival.
The SBA Backed Loan was designed to help businesses retain their workforce during the COVID crisis. Hundreds of Howard County businesses and nonprofits have received P3 loans, ranging from car dealerships to longtime restaurants. When PPP loans were first announced and then disbursed, many said it was a welcome shot, if not necessary.
J&J Electric chairman Jeff Linkenhelt said the company’s two PPP loan disbursements of $ 2 million each have averted significant layoffs of around 70 to 80 people at a time when J&J projects slowed down.
“It closed us off on a lot of projects,” Linkenhelt said.
Other organizations have also received PPP loans, including nonprofits like the Kokomo Rescue Mission. The rescue mission received $ 201,000 in April of last year.
While the homeless shelter and the mission’s food services have never closed, other services have, including the thrift store, the warehouse to receive donations and a recycling center. Executive Director Van Taylor estimated that around 13 to 15 employees were considering being made redundant as a result, and since these elements of the mission account for around 20% of overall revenue, services should have been cut in areas that are still open.
“This operation provides about 20 percent of our income to fund shelter and food services, nutritional assistance,” Taylor said. “So we should have laid off, say, 13 to 15 employees, and we should have cut services by 20%. Now obviously our donors have come, but when that decision was made to apply for the PPP loan, it was the choice. It was either starting to fire people and starting cutting services because we didn’t know how long that was going on.
PPP funding became available to state-owned enterprises last year through the CARES (Coronavirus Aid, Relief, and Economic Security) law to help businesses, self-employed workers and other agencies maintain the payroll of their employees.
Taylor added that at the time, the Centers for Disease Control and Prevention (CDC) was making “catastrophic” predictions for homeless shelters across the country. Next, Taylor said he and the mission’s board knew that significant resources would have to be diverted to purchasing protective gear like hand sanitizer and masks, resulting in less funds in the process. ‘together. The PPP loan changed that and allowed the Kokomo Rescue Mission to continue serving during last year’s stay-at-home orders.
While every business has been affected in COVID-19 closures, others have been hit harder.
Bel Air Events, for example, was forced to cancel event after event even before the busy summer season could begin, according to co-owner Cynthia Yazdani.
Yazdani said that events such as weddings, company meetings, proms, etc. were to be postponed or canceled due to restrictions.
“I said, ‘Well, I don’t know when it’s going to happen.’ I unplug my ice maker. Anything I don’t need I unplug because I need to cut the bills. Turn things off, turn things off, because you don’t know if someone is going to help you or not. You need to help yourself first before you even consider the fact that something may come to you in the future, or that the opportunity may come to you. This is exactly what we are doing.
However, Bel Air Events received two disbursements of $ 57,533 for a total of $ 115,066 in order to retain employees, and Yazdani said business is coming back over time.
“It scared me,” Yazdani said. “It just scared me. We have been in Kokomo since 1990. Everything we have done is rooted in Kokomo. And to think that because you had no control over the situation and then something could surge in and just erase your years of work, it was overwhelming. And that’s why you look around, and you are blessed with some help. You cannot believe it, that you are blessed for it.
The 50 main beneficiaries of the PPP
* The last figure represents the number of employees retained
1. Syndicate sales, Kokomo, $ 4,964,900 (98)
2. J & J Electric of Indiana Inc, Kokomo, $ 4,108,500 (76)
3. Quality Heating & Plumbing Inc, Kokomo, $ 2,394,110 (105)
4. HE McGonigal Inc, Kokomo, $ 1,939,382 (77)
5. Merrell Bros Inc, $ 1,814,700 (132)
6. Kokomo Auto World Inc, Kokomo, $ 1,241,596 (72)
7. Button Motors Inc, Kokomo, $ 1,210,800 (98)
8. HMH Contractors Inc, Kokomo, $ 1,203,600 (67)
9. Berry-It Incorporated, Kokomo, $ 1,100,300 (105)
10. Sensational Smiles Dentistry, PC, Kokomo, $ 1,005,280 (75)
11. Guardian Angel’s Hospice, Kokomo, $ 989,700 (107)
12. H&R Industrial LLC, Kokomo, $ 994,570 (46)
13. Half Moon Restaurant and Brasserie, Kokomo, $ 939,409 (99)
14. Kokomo Young Men’s Christian Association, Kokomo, $ 874,308 (167)
15. Andymark Inc, Kokomo, $ 865,836 (37)
16. Crossroads Community Church, Kokomo, $ 853,505 (57)
17. Machine Stephens, Kokomo, $ 812,040 (63)
18. Eriks Chevrolet, $ 807,873 (66)
19. Davidson Excavating Inc, Russiaville, $ 805,428 (35)
20. Plevna Implement Co, Kokomo, $ 752,657 (39)
21. CFD Lease, Kokomo, $ 717,500 (42)
22. Early distribution, Kokomo, $ 702,060 (29)
23. CIL Electronics LLC, Kokomo $ 628,800, (28)
24. Blondie Cookies, Greentown, $ 615,282 (46)
25. Industrial Fire Services LLC, Kokomo, $ 579,579 (16)
26. Adams Auto Sales, Kokomo, $ 538,000 (21)
27. Graves Sheet Metal Company, Kokomo, $ 510,500 (23)
28. Autism Brain Alternatives Inc, Kokomo, $ 488,700 (93)
29. Wallace Pork Systems LTD, Kokomo, $ 432,702 (40)
30. Forage Ortman, Kokomo, $ 431,805 (38)
31. Eye Physicians Inc, Kokomo, $ 428,505 (31)
32. Brad Howell Inc, Kokomo, $ 420,000 (53)
33. Scotts Home Healthcare LLC, Kokomo, $ 400,000 (58)
34. Coan Engineering LLC, Kokomo, $ 476,572 (35)
35. Paramount Industrial Inc, Kokomo, $ 350,948 (6)
36. High Output Inc, Kokomo, Kokomo, $ 345,360 (118)
37. Family and cosmetic dentistry, Russiaville, $ 343,990 (20)
38. Bucheri, McCarty & Metz, Kokomo, $ 336,158 (27)
39. École Sainte Jeanne d’Arc et Patrick, Kokomo, $ 322,982 (59)
40. Moon Making, Kokomo, $ 320,364 (36)
41. Foresite Inc, Kokomo, $ 312,700 (18)
42. McGavic Outdoor Power Equipment, Kokomo, $ 306,400 (36)
43. Herbst Apothecary, Kokomo, $ 301,102 (37)
44. Company specializing in tooling and die, Kokomo, $ 295,410 (18)
45. Fortune Enterprises, Kokomo, $ 283,367 (35)
46. G&B Management Inc, Kokomo, $ 259,717 (98)
47. Howard County Family Services Association, Kokomo, $ 260,873 (47)
48. H&R Industrial Payroll Management Co, Kokomo, $ 252,577 (14)
49. Kokomo Retirement LLC, Kokomo, $ 252,700 (46)
50. Machine Stephens, Kokomo, $ 251,646 (20)