Small businesses on the Central Coast struggle to get loans under shelter-in-place order

MONTEREY COUNTY, Calif. (KION) Small businesses are suffering on the Central Coast now that most are closed under shelter-in-place orders. And the federal government acknowledges that COVID-19 has created extraordinary circumstances.

So the Small Business Administration is offering different loans to help keep these places afloat. But local business owners say they’re running into a lot of red tape while trying to get their hands on these funds. Two of these loan options are Economic Injury Disaster Loans and the Paycheck Protection Program.

Nick Pasculli is the president of TMD Creative, a marketing company in Salinas.

“There’s over 500 sheets of paper here of documentation,” Pasculli said. “I have yet to hear from the SBA.”

Pasculli said this becomes a problem because his livelihood is on the line and he still has employees relying on them.

KION called up the nearest SBA branches in San Francisco and Fresno for answers about why it’s taking so long, but we couldn’t get through.