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Impact of COVID-19 on the Commercial and Industrial Loans
Introduction This term paper will mainly focus on small businesses. According to U.S. Small Business Administration (SBA), it defines small businesses by firm revenue (ranging from $1 million to over $40 million) and by employment (from 100 to over 1,500 employees). Getting a Commercial and Industrial Loan has a similar process to getting a personal loan. The most important aspect of getting a commercial loan is to have a great Business Credit score which is determined by the Business Credit Bureaus. The Business Credit Bureaus create a credit report which can help lenders decide if the business is a good fit for a loan. However, COVID-19 had a big impact on C&I loans as well as consumer loans. The Paycheck Protection Program (PPP) was one of the most important contributors to C&I loans during the pandemic. Business Credit Bureaus Dun & Bradstreet, Experian Business, and Equifax Small Business are three major credit bureaus for small b...
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