In an effort to allow more small and medium-sized businesses to be able to receive support from the Main Street Lending Program, The Federal Reserve Board on Monday announced revisions to the program. The program offers three lending facilities for businesses with 10,000 or less employees.

The Changes Include:

• Lowering the minimum loan size for certain loans to $250,000 from $500,000.
• Increasing the maximum loan size for all facilities.
• Increasing the term of each loan option to five years, from four years.
• Extending the repayment period for all loans by delaying principal payments for two years, rather than one.
• Raising the Reserve Bank’s participation to 95% for all loans that meet eligibility and documentation requirements, originally 85% of program priority loans.