See, from gyms to restaurants, our investigation has not found a single employer who’s been paid a Covid-19 business interruption insurance claim.
Small Business News
“It’s a question of how, not if,” says Tara Gibson, a senior adviser with Campaign for a Family-Friendly Economy who has been assisting with the effort. Both Gibson and Boysko believe that it is the business community, including associations such as Main Street Alliance and Small Business Majority, that has dramatically shifted its stance on paid leave and become a willing partner at the table.
A study published by the New York Fed in August found that Black-owned firms have been almost twice as likely to shutter during the pandemic compared to all others. About 41% of Black- and Latino-owned business said they won’t make it through the next few months without additional financial support, according to a Small Business Majority survey released on Oct. 20.
The announcement of the new program comes on the same day that Small Business Majority, a national organization with more than 70,000 members, said up to 35 percent of small businesses will fail in the next few months without additional help. That includes 41 percent of Black- and Latino-owned businesses.
While the Republican plan includes some measures that are needed to help Main Street – such as extending PPP, simplifying forgiveness for loans under USD 150,000 [EUR 126,000], and allowing some businesses to take a second PPP loan – it is not nearly enough to see small businesses through this crisis, nor does it have the support needed to make it to the president's desk for his signature,” Arensmeyer said.
Arensmeyer said he’s looking at grim forecasts for entrepreneurs if Congress doesn’t act soon.
“The most recent survey we did, one in three businesses say they aren’t going to survive, whereas just doing a survey less than two months ago, it was just over 25%," he said in an interview with Spectrum News. "So, we see this number growing."
According to a Small Business Majority survey in August, without additional funding, 26% of small business owners will have to fold in the next three months, and nearly one in five say they won’t make it longer than four to six more months.
The Paycheck Protection Program (PPP) saved my business, but six months later, funds are running out, fears of loan forgiveness loom, and I’m disappointed that the White House and congressional leaders have been unable to reach an agreement while small businesses across America struggle to stay afloat.
A Small Business Majority survey in August indicated that without additional funding, 26 percent of small business owners will not survive past the next three months, and nearly one in five say they won’t make it longer than four to six more months.
It is time that Congress starts taking small business needs seriously and pass a renewed package that works for small businesses.
From the get-go, the federal stimulus package was flawed, but at least it provided a lifeline for small businesses like mine that were suffering from extreme losses in profits. Now, many months later, those profits haven’t come back and funding is running out.