When the deadline for Round 3 of the Paycheck Protection Program originations was extended to May 31, it effectively entered overtime.
In the weeks since, lenders have participated in a race against the clock, working to get their borrowers First and Second Draw loans approved before time runs out or remaining funds diminished.
Last week, we published our State of PPP: Overtime Report, taking a dive into our platform data from before and after the deadline extension to provide readers with an analysis of PPP demand, Small Business Administration approvals, borrower trends, and other insights.
Below are three quick takeaways from the report, which you can download in full, here.
- Self Service is overwhelmingly preferred by PPP borrowers, regardless of taking a First or Second Draw Loan. During round 3 of PPP originations, lenders using the Numerated platform were able to offer their borrowers a self-service experience. When given the option between applying for a PPP loan via self service or with the help of a lender, borrowers overwhelmingly chose to do it themselves.
- PPP Round 3 hit a wider diversity of businesses. A big goal for lawmakers with PPP Round 3 was to help businesses that missed out during the first two rounds gain access to this important covid relief program. When we looked at the breakdown of PPP loans by industry we saw a shift in demand by industry, and a greater number of industries represented.
- More than 85 percent of loans in Round 3 were ≤ $150,000. In fact, more than half of all loans approved during PPP Round 3 were for $25,000 or less. These loans will now be eligible for automatic Forgiveness, via the Numerated platform.
Get more insights and analysis into PPP Round 3 originations by downloading the full Overtime Report, here.