Paycheck Protection Program approving smaller loans this time around

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One thought on “Paycheck Protection Program approving smaller loans this time around

  1. “Average” loan size is meaningless in figuring out whether small companies were helped much. Median loan size discounts the impact of a few big loans and would tell us about the center of the distribution curve.

    .

    Here’s some simple math. If there are 99 loans of $111,111 and one loan of $10 million, that’s a total of $20 million, or an average of $300,000, nearly three times the median. The average “supports” an argument that “too much” went to the big enterprise…even though 99 other businesses got the help they asked for.

    .

    The real story is that these loans are only part of a solution for businesses that have no work fir staff because they have no customers and no revenue.

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