Main Street Lending Program
Non-Profit Organizations

The Federal Reserve established the Main Street Lending Program to support lending to non-profit organizations that were in sound financial condition before the onset of the COVID-19 pandemic. The five-year loans are available for organizations with a minimum of 10 but no more than 15,000 employees OR 2019 revenues of $5 billion. The program will stop accepting loans on December 31, 2020, unless the program is extended by the Federal Reserve Board and the Treasury. Principal payments will be deferred for two years and interest payments for one year.

The Main Street Lending Program for nonprofits features two loan facilities, each with specific minimum and maximum loan amounts.

New Loan Facility (NONLF) Expanded Loan Facility (NOELF)
Term 5 years
Loan Type Secured or unsecured term loans originated after June 15, 2020 Incremental term loan tranche to an existing term loan or revolving credit facility made by an eligible lender on or before June 15, 2020
Minimum Loan Size $250,000 $10 million
Maximum Loan Size The lesser of $35 million or the Eligible Borrower’s average 2019 quarterly revenue The lesser of $300 million or the Eligible Borrower’s average 2019 quarterly revenue

Synovus is participating in the Main Street Lending program and currently accepting applications with single borrowers and additional guarantors. The Federal Reserve is unable to accept co-borrower applications at this time but expects to do so in the future. To be eligible to apply for a Main Street loan, a non-profit organization must meet the following minimum criteria:

  • Created or organized in the United States or under the laws of the United States with significant operations in and a majority of its employees in the United States.
  • Must not be an ineligible business.
  • Has been in continuous operation since January 1, 2015.
  • Only participates in one of the Main Street Lending facilities for non-profits (NONLF or NOELF) and does not also participate in the MSNLF, the MSPLF, the MSELF, the Primary Market Corporate Credit Facility (PMCCF), or the Municipal Liquidity Facility (MLF).
  • Hasn’t received specific support pursuant to the Coronavirus Economic Stabilization Act of 2020 (Subtitle A of Title IV of the CARES Act), that is, the CARES Act loan programs for air carriers, certain related companies, and businesses critical to national security.
  • Has an endowment of less than $3 billion.
  • Has an operating margin of 2% or more and 60 days of liquid assets on hand.
  • Has total non-donation revenues equal to or greater than 60% of expenses for the period from 2017 through 2019.
  • The organization must be able to make all certifications and covenants required under the Program.
  • Any existing loan outstanding with the Eligible Lender as of December 31, 2019 must have had an internal risk rating (based on the Eligible Lender’s risk rating system) that was equivalent to a “pass.”

Term sheets for each facility and Frequently Asked Questions (FAQs) are available on the Federal Reserve’s Main Street Lending page.

Synovus is awaiting further guidance on co-borrowers from the Federal Reserve. For more information, contact a Synovus Relationship Manager.

Important disclosure information

The preceding is for discussion purposes only and does not constitute an offer or commitment by Synovus Bank (Synovus) to enter into any arrangements. Any offer or obligation to enter into such arrangements shall be (i) subject to credit approval of Synovus, (ii) subject to a binding commitment from the Main Street Special Purpose Vehicle that it will purchase a participation, (iii) pursuant to definitive documentation executed by Synovus, borrower, and any guarantors, such definitive documentation to be satisfactory in all respects to Synovus, and (iv) subject to the satisfaction of all conditions precedent set forth in such executed definitive documentation.