The Fed is finally starting its lending program for small and medium-sized businesses

Small and medium-sized businesses are finally getting some much-needed help from the Federal Reserve.

The Fed’s highly anticipated Main Street Lending Program is launching more than two months after it was announced at the beginning of April. While the central bank won’t lend to businesses themselves, it will encourage banks to lend to struggling companies by taking the majority of the potentially risky loans off their balance sheets.

The new loan program supports small and medium-sized businesses that have fallen on hard times as a result of the Covid-19 pandemic. Only businesses that were in “sound financial condition” before the outbreak are eligible, though the Fed doesn’t specify what exact metrics must be met.