UPDATED Federal Reserve’s Main Street New Loan Facility
The Main Street Lending Program is now live! This $2.3 trillion loan package will work through banks to offer loans to companies of up to 15,000 employees and directly lend to state governments and populous counties and cities to help them respond to the crisis. The program is intended to facilitate lending to small- and medium-sized businesses and should include those previously excluded from the PPP.
Program loans will be made under five facilities: (1) Main Street New Loan Facility (“MSNLF”); (2) Main Street Priority Loan Facility (“MSPLF”); (3) Main Street Expanded Loan Facility (“MSELF”); (4) Nonprofit Organization New Loan Facility (“NONLF”); and (5) Nonprofit Organization Expanded Loan Facility (“NOELF”). As of July 6, the NONLF and NOELF for nonprofit entities remain under development and are not yet operational for borrowers.
Businesses can check their eligibility and review program requirements at MSNLF Borrower Certifications and Covenants, MSPLF Borrower Certification and Covenants, or MSELF Borrower Certification and Covenants. The applicant’s Chief Executive Officer and Chief Financial Officer (or equivalent officers) must sign the facility-specific certifications and covenants, and consent to the Fed’s purchase of the applicant entity’s loan.<-- Return to blog