Seneca Savings, the wholly owned subsidiary of Seneca Financial Corp. (MHC) (OTC Pink – SNNF), has announced that it has processed more than 253 loans totaling $18.1 million under the Small Business Administration’s Paycheck Protection Program (PPP) to help local small businesses support payroll and related costs.
According to Seneca Savings President and CEO Joseph G. Vitale, the bank assisted in saving approximately 2,000 jobs within the Greater Syracuse Area, and the average loan size was approximately $76,413 as of June 15.
For small businesses, the global COVID-19 pandemic crisis has challenged day-to-day operations with shutdowns, strained cash supplies, and presented uncertainties for employers and their employees.
For many, the Paycheck Protection Program offered a beacon of hope, and when it was created as part of the CARES Act on March 27, and launched by the Small Business Administration on April 6, Seneca Savings was ready and more than willing to assist small business owners navigate the new loan program. The program provides forgivable, government guaranteed loans for the nation’s small businesses, which account for roughly 45% of the United States workforce.
“As soon as we heard that the Paycheck Protection Program was being considered, our team started preparing,” said Vitale. “Our role as a community bank for the past 90 years has been to be a local partner to our business owners and families when they need it most. This crisis has presented so many challenges to the Central New York business community, and we knew that once the SBA enacted the program, we had to navigate these new waters for area businesses.”
The original $350 billion in PPP funding was approved by Congress, and banks were provided full portal access to help process loans. Within 10 days of being implemented, the first round of funding ran out. A second round of SBA funding totaling $310 billion was approved shortly thereafter.
“Despite some initial confusion on the rollout of the program, and the funding shortfall, we immediately started processing loans, and worked tirelessly to assist our area businesses,” Vitale said. “I can’t stress enough how thankful I am for our team for putting in this effort during this most challenging time.
“It’s been so rewarding to see some light come from the darkness of this pandemic,” he added.
