More Small Businesses Will Close Unless Congress Acts on Bipartisan Relief Package Now
Small Business Majority Founder and CEO John Arensmeyer comments on the bipartisan economic relief plan released today, as well as the failure to deliver a more comprehensive stimulus package for small businesses.
“While the bipartisan stimulus relief plan released this afternoon is not the comprehensive package that small businesses have been demanding, we support this as a temporary fix to stem further losses during this critical time. The months of congressional inaction have already proven to be detrimental as small businesses continue to face layoffs, permanent closures and financial ruin with mounting debt. Hundreds of thousands of small businesses have closed their doors for good, and a staggering 1 in 3 small businesses, including 41% of Black and Latino-owned businesses, report they will be forced to permanently close their businesses soon without additional relief. Something must be done now to prevent more closures, but without a longer-term solution, the ripple effects of the pandemic will reach far beyond permanent closures as once-vibrant communities see an abrupt halt to startups, economic recession and a declining workforce.
We support the plan’s important provision to re-launch the Paycheck Protection Program (PPP); however, it must be reformed to address challenges in delivering relief to small businesses hardest hit by the pandemic, in particular women and minority-owned businesses. Policymakers must also recognize that small businesses need much more than what the plan outlines, such as long-term grant programs, which is why we will continue to call on Congress to pass comprehensive relief in 2021 that addresses the need for long-term recovery solutions. But today, what small businesses need is for their elected officials to put their political differences aside and act on this bipartisan deal to deliver the financial relief they desperately need to survive into the new year.”
About Small Business Majority
Small Business Majority is a national small business organization that empowers America's diverse entrepreneurs to build a thriving and inclusive economy. We engage our network of more than 80,000 small businesses and 1,000 business and community organizations to advocate for public policy solutions and deliver resources to entrepreneurs that promote equitable small business growth. Our deep connections with the small business community along with our scientific research enable us to educate the public about key issues impacting America’s entrepreneurs, with a special focus on advancing the smallest businesses and those facing systemic inequalities. Learn more about us on our website and follow us on Twitter, Facebook and Instagram.