Michigan Small Businesses Finally Receiving Financial Help, 61% Received Funds From PPP Loan

Date: May 05, 2020

Half applied through small/community bank; Nearly all owners concerned about increased liability claims

The NFIB Research Center released a survey today on the small business loan programs. Small business owners were asked about the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) programs. The PPP is very popular among small businesses, with 77% of owners reporting they have successfully submitted an application.

“While things are finally starting to move into positive territory at the federal level, small businesses in Michigan continue to struggle with a governor that refuses to work with her partners in the legislature to open the state’s economy,” said Michigan NFIB State Director Charlie Owens. “She recently vetoed legislation that would have allowed many small businesses to open on May 16 if they practice social distancing and used face masks.” Owens said that a recent survey of the Michigan membership showed strong support for repealing the governor’s emergency powers.

Key Findings of today’s survey include:

The majority of small businesses have applied for a PPP loan.      

  • About 84% of applications were submitted before April 17, when the program was suspended for funding, and 16% of applications were submitted after April 17.
  • Half of applicants submitted their application through a small or local bank, 18% submitted through a medium-size bank, 14% submitted through a large bank, and 4% though a financial technology (FinTech) lender.

Over half of owners have received their PPP loan.

  • Forty percent of applicants are still waiting, but just under half of those waiting (45%) have received notice that their loan is approved.
  • Just over half (55%) of applicants who have not received a loan are still waiting to hear from their financial institution about their loan status.
     

Under half of respondents applied for an EIDL.

  • About 40% of respondents submitted a loan application for an EIDL and 60% of them applied before April 1.
  • The vast majority (75%) of EIDL applicants also requested the EIDL Emergency Grant.

 

Owners are most concerned with getting customers back to their business.

  • Virtually all small business owners are, to some degree, concerned about increases in liability claims with 38% very concerned about increased liability when re-opening their business.

The full survey is available here.

 

Subscribe For Free News And Tips

Enter your email to get FREE small business insights. Learn more

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Learn More

Or call us today
1-800-634-2669

© 2001 - 2022 National Federation of Independent Business. All Rights Reserved. Terms and Conditions | Privacy