Companies in the north of the country are using the second round of PPP loans

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ALTONA, NY (WCAX) – Thousands of companies forced to change their operations due to the coronavirus are looking for another lifeline from the paycheck protection program. The federal loans are designed to pay bills and keep workers in the workplace until business returns to normal. Kelly O’Brien spoke to a New York business owner who has benefited from the program.

The federal loans are primarily for payroll purposes, but changes were made in the last round of funding to help smaller businesses. Brannoin Sample, an Altona business owner who qualified for both rounds, says the remedies are helpful but not a cure. He runs the Rainbow Wedding and Banquet Hall. “This is the party capital of the great Northeast, we like to say,” he said.

In the past year, large gatherings were not considered safe. Corporations canceled their Christmas parties and the venue only hosted 11 weddings which were limited to 50 people. “We do an average of about 50 weddings a year,” said Sample.

He says he looked for loans like the Paycheck Protect program to turn on the lights and keep his four full-time employees working. “The way PPP money is calculated is based on your payroll,” said Sample. “So we didn’t get as much money as some would think, but it certainly all adds up.”

Sample is one of 250 companies that received a $ 25 million PPP loan cut from Champlain National Bank last year. The little bank says they are well on their way to reissuing that this year. “As well as what we examined and learned from those filings, it was over $ 14 million and we have closed and got more than $ 5 million,” said Steve Cacchio, president of the bank.

He says this round of credit is all about helping the little guy. In order for the loan to be granted, a company must demonstrate that it has suffered a 25% loss compared to 2019/2020, has fewer than 300 employees, and 60% of the loan is used for payroll. “Much of the first ones we started in this process have been awarded, so we’re assuming that is the case,” said Cacchio.

Sample says he makes the most of a bad situation, and that has shifted the focus from parties to fine dining in his venue. “This is a place where people come together and we are confident that we can do it safely,” he said. “So it only made sense to open our new Brookside Barn as a restaurant.”

Champlain National Bank says it will continue to accept PPP applications through the end of March.

Related story:

Will the Paycheck Protection Program Help Companies Survive?

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