As you may already know, the Small Business Association (SBA) and Treasury Department announced late last week that they will disclose details of borrowers that participated in the Paycheck Protection Program (PPP). This decision came after pressure from Congress, labor unions, and other groups, which declared that the public has a right to know how taxpayer money was spent.
This primarily impacts businesses that received loans of $150,000 or more, which accounted for 75% of the funds lent through the PPP. The SBA and Treasury plan to release the names of these borrowers along with other information, including addresses, demographic data, number of jobs supported, and loan amount range. (Exact amounts will not be disclosed. For more detail on the ranges, click here.)
For businesses that received loans of less than $150,000, the agencies said they would disclose a summary, broken down by ZIP code, industry, business type, and various demographics. Approximately 86% of borrowers fall into this category.
Reuters reported on Friday that the SBA and Treasury could release the details in the next few days. We expect this will renew media scrutiny for many franchise brands, so we want to make sure you’re prepared to respond to inquiries from media, customers, and other stakeholders.
This week, Fish will host a webinar with the International Franchise Association (IFA) to address how franchise brands can prepare for and respond to this potential crisis situation. Joining me will be Scott Redler, Co-Founder & COO, Freddy’s Frozen Custard & Steakburgers, and Matt Haller, IFA’s Senior Vice President, Government Relations and Public Affairs.
Get Smart on the Government’s Pending Public Disclosure of PPP Loans
Learn more about the planned disclosure and ways to manage potential crisis communications
Thursday, July 2 – 12:15 p.m. ET