Coronavirus Paycheck Protection Loans In Edgewater: Who Got Paid

EDGEWATER, MD — As coronavirus spread throughout the country, many companies struggled to survive while they were temporarily out of business. In hopes of saving jobs during the outbreak, the federal government launched an effort to help businesses pay their employees and avoid layoffs.

That aid, called the Paycheck Protection Program, helped save millions of jobs around the country. Now, a list of businesses that received a PPP loan is public.

Most loans were worth less than $150,000, but the U.S. Small Business Administration announced all the companies that were awarded more than that threshold. Altogether, 51 Edgewater businesses received loans worth more than that $150,000 mark. Thirty-one Davidsonville companies took home loans that exceeded that checkpoint.

The most notable businesses to secure a PPP loan were The Edgewater Steakhouse, Coconut Joe's, Homestead Gardens and Mana Supply Management.

The Edgewater Steakhouse earned a loan worth $350,000 to $1 million. The restaurant credits the loan with saving 80 jobs.

The Pier Waterfront Restaurant, formerly Coconut Joe's, won a loan valued between $150,000 and $350,000. The Pier retained an Edgewater-high 149 jobs with its PPP money.

Homestead Gardens nabbed $1 million to $2 million, which was tied for the largest in both Davidsonville and Edgewater. The 200 employees that Homestead Gardens kept aboard were the most of any Davidsonville company.

Mana, a medical marijuana dispensary in Edgewater, secured a loan worth $150,000 to $350,000. That money helped the dispensary retain 24 of its workers.

The earliest a local business received a PPP loan was on April 6 when Davidsonville's Contractors Precast Corp. landed an extra $1 million to $2 million. The loan spared 92 jobs.

The most recent business to get approved was 3nSolutions, an Edgewater informational technology company. Its PPP loan was issued on June 9. The $150,000 to $350,000 have saved five jobs, so far.

Three Edgewater nonprofits won awards worth more than $150,000, as did one from Davidsonville. One of those nonprofits was a church. The most well-known nonprofit to score a loan was the Arundel Lodge of Edgewater, a group that treats mental health and substance disorders. The lodge earned $1 million to $2 million, saving 39 positions.

Three Edgewater businesses and five Davidsonville companies reported saving zero jobs with their PPP loans. That does not mean the businesses laid off workers or closed, however. It just means that they did not directly attribute the retention of any jobs to the loan.

No local businesses received an A list loan, which was worth between $5 million and $10 million, or a B list loan, valued at $2 million to $5 million. Six companies won C list loans for $1 million to $2 million. The remaining 76 enterprises earned awards worth between $150,000 and $1 million.

The PPP loans were born on March 27 when the federal government initiated the CARES Act, which aimed to provide economic relief during the coronavirus crisis. The loans are similar to grants. Businesses will only have to repay them if they layoff workers or cut their pay.

Companies do not need to spend the money directly on employee paychecks, however. As long as a business continues paying its workers, the money can be used to pay mortgage interest, rent and utilities

Altogether, more than 5 million American businesses were granted PPP loans. The loans totaled more than $500 million, according to the data released by the small business administration. The loans have supported 51 million jobs, or about 84% of the country’s small business workers.

A list of all the companies in Maryland that earned PPP loans worth more than $150,000 is available here.

• Coronavirus Paycheck Protection Loans In MD: Where the Money Went
• Coronavirus Paycheck Protection Loans In Annapolis: Who Got Money

Patch editors Rich Scinto, David Copeland and Elizabeth Janney contributed to this report.

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