LOBs with pre-existing lender relationships had a higher chance of receiving a PPP loan
LOBs with a pre-existing lender relationship were 6.6x more likely to get PPP funding, primarily driven by technical assistance and constant communication offered by lenders.
16.5% of LOBs with a pre-existing relationship with a lender (“Borrowers”) received PPP funding
2.5% of Non-Borrowers surveyed received PPP funding
LOBs operational cash is Dwindling
LOBs without an active relationship with a lender are less likely to have enough cash on hand to operate the business beyond 3 weeks.
ESTIMATED CASH ON HAND
Less than 3 weeks
3 weeks to 2 months
2 months to 4 months
4 months to 6 months
Over 6 months
LOBs are resilient in the ‘New Normal’
LOBs show greater signs of survival despite lack of access to PPP and other relief funds.
78% of LOBs have re-opened or resumed business operations as of August 2020 compared to 67% in June 2020
70% of LOBs believe their business will be as good or better than pre-pandemic levels
Despite resiliency from LOBs, most of their sales have not recovered to pre-COVID levels
Sales for the typical LOB are not expected to recover to pre-COVID levels until 2021. Further capital injections are required to bolster the rebirth of these businesses.
ESTIMATED % OF SALES IMPACTED IN COMPARISON TO THIS TIME LAST YEAR (JULY-AUGUST 2020)
Declined 30% or more
Declined less than 30%
Grew less than 30%
Grew 30% or more