Biz2Credit Study Shows PPP Had Large, But Short-Lived Effect on Small Business Survival Small Business Economic Indicator Study Examined Cash Flow, Predicts Many Bankruptcies Possible without PPP2 Stimulus
December 11, 2020 06:30 ET | Source: Biz2Credit Biz2Credit New York, New York, UNITED STATES
NEW YORK, Dec. 11, 2020 (GLOBE NEWSWIRE) Biz2Credit’s new six-month analysis of COVID-19’s impact on small businesses found that government lending programs restored sufficient capital for businesses to weather the effects of the pandemic for a short period, but that many firms are currently operating at a monthly loss.
The study found that since the Paycheck Protection Program (PPP) expired in August, many companies are operating at a negative cashflow and up to 30% could close forever by the end of 2020.