Time and money are running out for many small business owners. With no end in sight to the corona virus surge in the United States and with the possibility of more shutdowns or curtailed activity looming, the economic outlook remains bleak.
While many small businesses have benefited from short-term aid like the federal Paycheck Protection Program loans, that money was only intended to cover10 weeks of payroll and other expenses. Now 84% of small businesses say they will have used up their PPP loans by the first week in August, according to a survey taken last week of 1,500 businesses that participated in a Goldman Sachs’ training program.
The question is: Now what? More than 60% of respondents to the survey said their revenue is still less than three-quarters of what it was before the pandemic. Only 16% said they are very confident they can maintain payroll without more government relief. And just 37% said their business can survive another Covid-related shutdown.
