Goldman Sachs survey finds small businesses asking for more aid

    Small businesses are pursuing more pandemic aid nationally. Shown is the Valley Junction area in West Des Moines. (Photo by Perry Beeman/Iowa Capital Dispatch)

    A survey by Goldman Sachs’ 10,000 Small Businesses Voices program found small businesses asking for more federal pandemic recovery aid. 

    “The strength of small businesses will help us measure the success of the economic recovery,” Jessica Johnson-Cope, chairwoman of the program, said in a statement. “Congress took an important step toward relief in December but must tackle the unfinished business of supporting the entrepreneurs who drive our economy.”

    The survey found that a majority of qualified small businesses applied for the second round of loans in the Payment Protection Program, a federal  program tied to the COVID-19 pandemic response.

    Nationally, 66% of small businesses qualify for a second PPP loan, Goldman Sachs said. And 83% of qualified businesses have asked for a second loan. 

    In the Midwest, 46% of small business owners reported tapping their personal savings to cover business expenses. More than half, 55%, gave up their paycheck to try to save their business.

    Many Midwest businesses reported they expect to run out of federal funding by April or May. 

    The survey of 1,293 Goldman Sachs 10,000 Small Businesses participants was conducted by Babson College and David Binder Research from Feb. 15-16. 

    Perry Beeman
    Senior reporter Perry Beeman has nearly 40 years of experience in Iowa journalism and has won national awards for environmental and business writing. He has written for The Des Moines Register and the Business Record, where he also served as managing editor. He also is former editorial director of Grinnell College. He co-authored the recently published book, "The $80 Billion Gamble," which details the lottery-rigging case of Eddie Tipton.