Main Street Lending Program
Helping mid-size American companies fund their operations, staffing, and growth.
Opening Main Street
The CARES Act was signed into law on March 27th, 2020. The legislation allocated $600 billion to help mid-size businesses to maintain their staff and operations. The Main Street Lending Program (MSLP) gives regulated banks a funding facility to extend unsecured loans that are not federally guaranteed. Instead, loans are sold to the Federal Reserve via a 95% participation.
The MSLP is an opportunity for businesses with 15,000 or fewer employees or 2019 annual revenues of $5 billion or less. These bank loans are supported by the federal government. The minimum term loan size is $250,000. It is recommended to have a minimum EBITDA of $125,000 in 2019.
The Main Street Lending Program (MSLP) offers three different secured or unsecured 5-year term loan options set at an adjustable rate of LIBOR (1 or 3 month) plus 300 basis points with principal deferred for two years and interest payments deferred for one year for eligible borrowers. Unlike the PPP, MSLP loans are full-recourse and not forgivable. Prepayments do not have a penalty.
What is Celeri Network?
We are a financial company that uses both technology and innovation to match business owners in need of funds with lenders. The Celeri method is simple, quick and fair.
What is the Main Street Lending Program (MSLP)?
As a result of the Coronavirus Aid, Relief & Economic Security (CARES) Act, the Federal Reserve has created the Main Street Lending Program to provide a total of $600 billion in financing for small and medium-sized businesses.
Is my business eligible for the MSLP?
Business established before 3/13/20
Not be ineligible by SBA regulations
No more than 15,000 employees or annual revenues of no more than $5 billion
Crated or organized in the U.S. with significant operations in and majority of employees based in US
Did not participate in other Main Street loan facilities, as well as Primary Market Corporate Credit Facility
How do I apply?
Eligible borrowers must submit an application and other documents to eligible lenders. Eligible lenders are federally insured deposit institutions. If your business would like help connecting to one of these institutions, Celeri Network may be able to help.