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Only 5.7% of US businesses got PPP loans: Report
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Only 5.7 percent of U.S. businesses received Payment Protection Program relief, according to a new report from business research website Business.org.
PPP is designed to incentivize companies with fewer than 500 employees to retain staff despite difficult economic conditions that have resulted from the coronavirus pandemic. Applicants can receive up to $10 million, which can be forgiven in certain cases. At least 75 percent of the money must be put toward payroll costs.
The Trump administration allocated an initial $350 billion in funding for the program, which went to 1.6 million U.S. businesses, or 5.7 percent of the country's total number of businesses, before the money ran out and lenders were forced to stop accepting applications.
The report from Business.org shows what percentage of businesses in every U.S. state received PPP funding, and the results show that companies in middle America benefitted most from the PPP despite getting the least amount of funding.