Which San Jose industries received the most PPP money?
George Lahlouh, co-owner of Original Gravity, MINIBOSS and Paper Plane, behind the bar. File photo.

    San Jose businesses received more than $2.3 billion in federal funding to keep workers on the job during the COVID-19 pandemic.

    The Small Business Administration (SBA) approved more than 11.8 million loans through three rounds of Paycheck Protection Program applications, with California having the most loan money approved out of any state, according to federal data.

    San Jose received the most PPP money in Santa Clara County, with almost 25,000 approved applications, an analysis by San José Spotlight shows.

    “The PPP has been lifesaving,” said Scott Knies, director of the San Jose Downtown Association. “Our members were very grateful for it (because) a lot of their businesses just went ‘poof’ during the pandemic.”

    Three businesses received $10 million in loans to retain a combined 1,324 employees: United Mechanical, an HVAC company; Quantum Corporation, a data storage company; and Velodyne Lidar, a laser sensors company. The federal program forgave the loans to United Mechanical and Velodyne Lidar at the end of June.

    United Mechanical and Quantum Corporation did not respond to San José Spotlight’s requests for comment. Velodyne Lidar declined to comment.

    Approximately 330 applications in San Jose received more than $1 million in loans, data shows. Many businesses applied for paycheck protection more than once, according to the analysis. In one case, a local Panera Bread franchisee received roughly $5 million through two applications.

    Restaurants accounted for the largest percentage of approved dollars at $132 million, about 5.6% of the total amount of loans given to all San Jose businesses. Dental clinics came in at a distant second, with a total of $64 million in loan money.

    Other industries hit hard by shutdown orders, such as hotels, did not make the top 10 list.

    “If you look at our downtown, there are 200 places to eat, but we have six or seven hotels,” Knies said. “Other industries (on the list) employ a lot of people, and that was a criteria for the loans.”

    As of July 1, the SBA has forgiven a total of $1 billion in loans to San Jose businesses, according to the data. About a quarter of a million San Jose employees retained their jobs because of paycheck protection funding.

    Here’s a look at the 10 industries that received the most PPP assistance in San Jose:

    Full-service restaurants

    Total amount: $132,239,071

    Average loan: $133,710

    Number of loans approved: 989

    Top 3 loans:

    O.M., Inc. (owner of the local chain Aqui restaurants): $4 million

    Luna Mexican Kitchen: $3.4 million

    Pangenera, LLC (a Panera Bread franchisee): $2 million

    Dental clinics

    Total amount: $64,103,646

    Average loan: $67,978

    Number of approved loans: 943

    Top 3 loans:

    Dalvir Pannu, D.D.S, Inc.: $592,400

    Innovative Dental of Silicon Valley: $439,500

    Phelps & Cohen Orthodontics: $816,580

    Computer programming services

    Total amount: $57,478,334

    Average loan: $226,293

    Number of loans approved: 254

    Top 3 loans:

    Photon Infotech Inc.: $7,110,345

    Flexton Inc.: $2,675,000

    InterraIT, Inc.: $2,240,000

    Plumbing, heating, and air-conditioning contractors

    Total amount: $51,586,358

    Average loan: $255,378

    Number of approved loans: 202

    Top 3 loans:

    United Mechanical: $10 million

    ICOM Mechanical: $5,025,705

    All Temperature Service: $1,884,483

    Law offices

    Total amount: $51,448,919

    Average loan: $90,899

    Number of approved loans: 566

    Top 3 loans:

    Hopkins & Carley: $4,394,000

    Berliner Cohen LLP: $1,618,200

    Law Foundation of Silicon Valley: $1,444,504

    Limited service restaurants (to-go)

    Total amount: $50,353,751

    Average loan: $109,943

    Number of approved loans: 458

    Top 3 loans:

    Cam-Bas Inc (McDonald's franchise): $4,458,700

    Pangenera, LLC (Panera Bread franchise): $2,967,090

    Henley Restaurants (McDonald's franchise): $1,905,500

    Computer systems design services

    Total amount: $50,088,900

    Average loan: $265,021

    Number of approved loans: 189

    Top 3 loans:

    Red Oak Technologies: $3,044,347

    T3C Inc.: $2,925,162

    Jade Global: $2.913,331

    Engineering

    Total amount: $45,008,037

    Average loan: $255,727

    Number of approved loans: 176

    Top 3 loans:

    Ryzen Solutions: $6,423,010

    Structural Integrity Associates: $4,570,300

    Mark Thomas: $4,042,600

    Electrical contractors and other wiring installation contractors

    Total amount: $42,455,998

    Average loan: $244,000

    Number of loans approved: 174

    Top 3 loans:

    CH Reynolds Electric: $5,088,648

    New Age Electric: $4,052,495

    RFI Communications & Security Systems: $3,202,400

    Offices of physicians (except mental health services)

    Total amount: $37,675,348

    Average loan: $80,160

    Number of approved loans: 470

    Top 3 loans:

    NMCI Medical Clinic: $2,369,472

    Action Urgent Care: $1,952,961

    San Jose Medical Clinic: $1,898,744

    Contact Tran Nguyen at [email protected] or follow @nguyenntrann on Twitter.

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