Corporate Services Partner David Cole was quoted in an Inc.
article discussing the Main Street Lending Program. The program, established through the Coronavirus Aid, Relief, and Economic Security (CARES) Act, aims to facilitate lending to small- and medium-sized businesses. Although the program offers low-interest loans, compensation restrictions and other requirements have generated questions about its efficacy. Mr. Cole said some key changes would make the program more flexible and more attractive to businesses, comparing it to the Paycheck Protection Program (PPP), which also includes restrictions that were not part of the original CARES Act statute establishing it.
"They arguably stepped outside the boundaries of their authority in the PPP loan," he said. "Same thing here."
READ: Why the Fed's New $600 Billion Lending Program May Get a Cool Reception