Small Business News

| Daily Mail

John Arensmeyer, CEO of the Small Business Majority, lauded the release of the data Monday, but said that it was still ‘a far cry from an accurate picture of the program.’

‘Serious questions remain about whether PPP funds were equitably distributed to minority-owned businesses, and there is an alarming rate of small-dollar loans,’ he said.

| Common Dreams

"Serious questions remain about whether PPP funds were equitably distributed to minority-owned businesses, and there is an alarming rate of small-dollar loans," John Arensmeyer, founder and CEO of advocacy group Small Business Majority, said in a statement. "Nationally, a total of more than 21,800 small businesses, many with multiple employees, received a loan for under $1,000."

| American Prospect

Does this signal that there’s no demand for PPP loans? I’ve heard from plenty of people still waiting for their applications to be processed. A disturbing report from Small Business Majority finds that 2,500 businesses just in California got less than $1,000 from PPP, 290 got less than $100, and some got literally $1. These numbers are so low as to be impossible, given that the program is supposed to pay out 8 weeks of payroll plus 25 percent. One in four survey respondents to Small Business Majority, however, got less than they requested.

| Crain's Chicago Business

The program “seems to favor those (businesses) who are well-connected, well-heeled and well-banked,” said Geri Aglipay, a senior outreach manager in the Midwest for the nonprofit Small Business Majority interest group.

| KPIX-5 SF Bay Area

So the micro-businesses, the businesses that make up our downtowns and our neighborhoods, those are not necessarily the businesses that were at the front of the line here,” Herbert said.

“There’s no way that the Lakers, worth over 2, 3 billion dollars got a 20 million dollar loan before I did!” said David Morales, co-owner of San Francisco salon the Beauty Box.

| CPR News

The first round of funding dried up in days, but since then, interest in the program has cooled. There is more than $100 billion of the aid still available. For some business owners, it’s already too late. Others say the terms of the program don’t make sense for them, according to Hunter Railey, the Colorado director of the Small Business Majority, an advocacy and education group. That is particularly true in service industries such as hospitality where many businesses are still closed.

| Government Executive

Small Business Majority Founder and CEO John Arensmeyer said while he was “pleased” the information was released, “the data set unveiled today is a far cry from an accurate picture of the program.” He emphasized the need for transparency and oversight for the large stimulus package. “Across the board, there are gaping holes and inconsistencies in the information,” Arensmeyer said in an email to the media. “Serious questions remain about whether PPP funds were equitably distributed to minority-owned businesses, and there is an alarming rate of small-dollar loans.”

| Fox10

Congress last week also extended the program for five more weeks while lawmakers negotiate another potential round of wide-ranging assistance. Brian Pifer, vice present of entrepreneurship at the advocacy group Small Business Majority, said he hopes any such legislation will give companies with fewer than 100 employees a second bite at the apple.

| Community Impact

John Arensmeyer, CEO of the national small business advocacy group Small Business Majority, said in a statement that one of every four small businesses in its network reported receiving a lower amount than it requested and that the data released July 6 is a "far cry" from an accurate representation of the program.

| ABC 13 WHAM

John Arensmeyer, founder and CEO of Small Business Majority, raised several concerns about the data, including why many businesses received very small loans or less money than they requested without an explanation. He called for SBA to clarify inconsistencies in the data and continue making additional information available throughout the forgiveness process.

Pages