How Paycheck Protection Program loans were split in Hays County
By Sahar Chmais
Hays County businesses received millions of dollars in funds from the Paycheck Protection Program (PPP), even though many businesses did not participate in it or found difficulty navigating the system. Now that PPP loans will be making a reappearance to aid more businesses through these financially difficult times it is time to look over how some businesses in the county secured these funds for their businesses.
About 30%, or $284 billion, of the $900 billion of the COVID relief bill will be spent on the Paycheck Protection Program (PPP). The first round of PPP loans was nearly double the amount proposed in December’s bill. PPP has disclosed details on the business loans it gave, such as business names, loan size, lender name, how many jobs were saved and more. The Hays Free Press/News-Dispatch has analyzed some of the numbers so that Hays County businesses have an idea what to look forward to in the next wave of loans.
In Hays County, nearly 2,500 small businesses received loans through the program. One caveat which has created some limitation to information analysis – the PPP disclosed exact loan amounts for businesses that received less than $150,000 but did not disclose those business names. Loans over $150,000 were accompanied with names, but loan amounts are given in wide ranges.
Loans for less than $150,000:
Hays County businesses that received less than $150,000 raked in over $72 million from 194 banks. Many of the lenders were small or local banks, but some of the biggest lending came in from large national banks.
Frost Bank gave 220 loans at $8.6 million. Frost was the county’s biggest lender in quantity and in loan amounts for loans under $150,000. These loans alone sustained 1894 jobs.
Some other lenders that gave over 100 loans or over $1 million include: Wells Fargo Bank, Ozona National Bank, BBVA USA, Bancorp SouthBank, Bank of America, Broadway National Bank, Cross River Bank, JP Morgan Chase Bank, Newtek Small Business Finance, Sage Capital Bank and more.
These loans saved more than 10,000 jobs in the county.
Some of the participating banks in the last round also include: A+ FCU, Affiliated Bank, Allegiance Bank, Business Bank of Texas, First State Bank, Horizon Bank, International Bank of Commerce, Kabbage, Inc., Keystone Bank, Moody National Bank, PlainsCapital Bank, Ready Cap Lending, Security State Bank & Trust, University FCU, Wallis Bank and more.
Loans over $150,000:
The largest loans given ranged between $5-10 million. Only three businesses in Hays County received this amount.
Caraday Managemnet LLC in San Marcos, owner of nursing care facilities, got $5-10 million from BOKF National Association.
Patriot Erectors LLC in Dripping Springs, a business dealing in structural and miscellaneous steel fabrication and erection, secured $5-10 million through Cadence Bank National Association. Berry Aviation Inc., a private aviation company in San Marcos, also received $5-10 million from Regions Bank.
Some other Hays County businesses that received these funds include: The New World Bakery, Inc. with a loan of $350,000 to $1 million from Amarillo National Bank. Flores Mexican Restaurant got a loan of $1-$2 million from Lone Star National Bank. Cinestarz LLC received $1-$2 million from Frost Bank. B&J Pharmacy received $150,000-$350,000 from Broadway National Bank.
Although only 255 small businesses received loans greater than $150,000, these funds secured over 12,500 jobs.
Overall, PPP loans helped save over 23,000 jobs in Hays County for all loan amounts. Wells Fargo gave over 170 loans but did not disclose secured job amounts.
Many lenders gave minimal amounts of loans, ranging between one to 10 loans.
(Disclosure: Barton Publications Inc., owner of the Hays Free Press and News-Dispatch, received a PPP loan of $50,100.)
