Despite trillions in Fed “stimulus” and endless government handouts, John Stanford, co-executive director of the Small Business Roundtable, told CNBC this week that “it continues to be a very painful time for small businesses.”
“We have to remember, PPP was a bridge program,” Stanford said.
“It was meant to keep people on the payroll, it wasn’t meant necessarily to keep businesses open.”
In what will likely come as a surprise to many, amid political pressure to reopen nationwide – since lockdowns have been shown to be utterly useless – 22% of U.S. small businesses were closed in February, up significantly from October’s 14%, and back near May’s pandemic peak when 23% of small- and medium-size businesses closed (just 1 percentage point higher than the current closure rate).
The report, from Facebook and the Small Business Roundtable, found that different areas of the country were experiencing varying degrees of difficulty.
Some states, like Maine, Idaho and Colorado, were seeing 9%-10% closures, while others like New York, Pennsylvania, and Massachusetts were seeing at least 30% closed.