Washington, D.C.—In April, a survey conducted by the Natural Products Association (NPA) revealed that 95% of respondents who applied for a small business loan through the Paycheck Protection Program (PPP) had been rejected; 88% of respondents said they would reapply when additional resources become available. NPA has now conducted a follow-up survey to see how industry businesses are faring with the loan process.
In this latest survey, 70% of businesses applied for a PPP loan, down 3% from the initial survey. The findings:
- 27% of survey respondents said they were not able to submit an application for the PPP loan.
- 46% of businesses that applied for a PPP loan have not received a loan.
- 24% of businesses that reapplied for a loan received one.
- $1,862,500 in loans has been received by businesses, 22% of the total amount of requested in the initial survey.
“Parts of the industry have been hit harder than others, but the fact that our businesses have stayed open as essential in most states has helped to mitigate some of the impact,” said Daniel Fabricant, Ph.D., President and CEO of NPA, in a press release. “As our nation opens the economy back up we will have to continue working with the Administration, governors, and lawmakers to support our small businesses.”
Related: NPA Survey: Natural Products Businesses Hit Hard
NPA: Our Members Will Stay Open to Provide Essential Services
NPA: How the $2T Economic Stimulus Package Helps Natural Products Industry