Eagle Bank and Payroll Protection Program LoansEagle Bank|August 31, 2020
By: Cathy Owen
Eagle Bank is proud to continue its 101-year tradition of serving an essential role in the economic wellbeing of the communities we serve. As COVID-19 altered the way our customers live, work, and bank, we have continued to provide needed support to our employees, customers, and communities. One of the ways we have done this is through participation in the SBA Payroll Protection Program (PPP) Loans.
Pictured is Jeff Lewis, an Eagle Bank SVP/Commercial Lender, with Gerome Johnson, President of Shorter College, to whom we made a PPP Loan. Shorter College is a 134-year-old faith-based, liberal arts college founded by the African Methodist Episcopal Church, and is in North Little Rock. Of the 110 Historically Black Colleges and Universities, it is the only private, two-year HBCU in the nation. Mr. Lewis is honored to have been able to work with Mr. Green to provide these PPP funds to Shorter College.
Banks of all sizes responded to the unprecedented government initiative to provide desperately needed financial assistance to the small business community in response to the coronavirus pandemic. This program helped over 50 million workers receive payroll checks, which represented 75% of small business payrolls in all 50 states.
How did Eagle Bank do? Our PPP Loans supported over 1300 community jobs. 28% of our PPP Loans were for amounts of less than $10,000, with our smallest loan being for $375. Our average PPP Loan size was $44,000. 95% of our PPP Loans were for less than $150,000, and all of our PPP Loans were for less than $750,000, which further illustrates our tremendous support for our small business customers and communities.
Will banks make money off this program? The program is about helping small businesses and their employees. We did not participate in the program to make money. We participated because we wanted to help our communities and the economy. The terms of these loans may allow us to simply break even, given the significant resources devoted to these applications and the forgiveness process.
We are very proud of our Management and staff, who worked day and night to get PPP money in the hands of small businesses, as quickly as possible. Serving our customers and communities remain a priority at Eagle Bank. Contact us for all your banking needs.