PPP loans benefited local businesses

McAlester News-Capital - 1/30/2021

Jan. 30—More than 430 businesses in the 74501 ZIP code received a loan from the Paycheck Protection Program that was created when the COVID-19 pandemic began last year.

The program provided loans to help businesses keep their workforce employed during the coronavirus pandemic and was made available to small businesses, private nonprofits, faith-based organizations, tribal groups, veteran groups and self-employed individuals who file taxes as independent contractors and sole proprietors.

Businesses who followed the requirements after receiving the loan were then eligible for the loan to be forgiven.

A second round of PPP loans are now available for businesses that received a loan during the first round.

Sierra Ellis, who owns and operates Sierra Ellis Photography in McAlester, was one of the 439 McAlester businesses that received a PPP loan during the first round.

Ellis said she had to apply at two separate banks in order to get approved for the loan, but was thankful for the loan when she was approved, even though it only covered one month of her usual paycheck instead of the three the loan was intended to cover.

"I was just grateful in a time where I didn't know when the next time I was going to be able to pay myself was and to have that money," said Ellis.

The photographer said she had five weddings that were scheduled during the first three months of the pandemic that were eventually rescheduled.

"I don't think I started shooting weddings again and getting an income again until at least June," said Ellis. "So it was living off of deposits that hopefully nobody wanted back at that point."

Ellis said everybody who had a scheduled wedding was "really good" about rescheduling and nobody that was scheduled during that three-month timeframe cancelled.

"It was just terrifying at first there," said Ellis.

When asked about her opinion of the program, Ellis said she believed the program did a lot of good.

"I think it's great for people who could get it. I think it really did help out in a time where businesses didn't know whether or not they would be able to continue on," said Ellis. "I've seen where people have had to close their doors and I'm grateful that I'm not one of them because I wasn't drowning in expenses from them helping me."

Ellis did have some concern from her experience that an eligible business owner could have been discouraged after receiving a denial at one bank and not trying again at another like she had to do.

"Who knows how many people went to other banks and didn't just keep trying like I did and just gave up," said Ellis. "It was just so quickly changing that I feel like potentially a lot of people got discouraged that weren't approved for it right at the git-go."

Ellis said she still hasn't received her final paperwork regarding the loan's forgiveness even though she was told by her lender she was eligible.

The photographer said she did not know if she was going to apply for the PPP second draw loan program that was approved by Congress and President Donald Trump in late December as part of a larger COVID-19 economic stimulus program but would look into it if she was told by her lender that she qualifies.

"Weddings are still down," said Ellis. "I had people reschedule two- or three-times last year and just give up. So I'm sure a lot of people are just holding back right now.

"I might potentially go for it at this time. I don't know; it's still really early."

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