Good news, but liability, unemployment insurance increases need addressing
SALEM, Ore., May 5, 2020—From Anthony Smith, NFIB Oregon state director, on today’s release of the latest survey of NFIB small-business-owning members showing the Paycheck Protection Program (PPP) popular among small businesses, with 77% of owners reporting they have successfully submitted an application and 61% saying they’ve received the funds.
“It’s welcome news to hear that small businesses are seeing their applications for federal financial assistance processed – and better yet, that a good number of them have money in the bank now. But moving forward, business owners need guidance on how they can spend these funds in order for the loans to be forgiven – and because at least 75% of the PPP funds are required to be used for payroll costs, that means they need to be able to get their employees back to work. We’re hearing from our members that they are eager to do so, but they have concerns about increased liability when re-opening their business.”
From Holly Wade, NFIB Director of Research & Policy Analysis
“After the second round of funding, many more small businesses were able to apply and receive funding from these federal loan programs. Now, business owners need guidance on how they can spend these funds in order for them to be forgiven.”
- NFIB President and CEO Brad Close letter to Treasury Secretary Steven Mnuchin and SBA Administrator Jovita Carranza–“Small business owners should not be penalized due to the current lack of regulatory clarity. Most small business owners are planning to take full advantage of loan forgiveness rather than using the funds as a low interest loan over 2 years. NFIB requests SBA issue an Interim Final Rule on forgiveness as soon as possible.”
For more than 77 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is a nonprofit, nonpartisan, and member-driven association. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit nfib.com.
National Federation of Independent Business/Oregon
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Salem, OR 97302