As small business owners anxiously wait for Congress to inject more money into the Paycheck Protection Program (PPP), a new LendingTree survey finds just 5% of business owners have been approved for a PPP loan before the initial funds were depleted, though 60% had applied for funding.

Full report: https://www.lendingtree.com/business/just-5-percent-small-businesses-received-ppp-money/

Key findings:

Only 5% of small business owners were approved for PPP funds, even though 60% applied for funding from the federal rescue program.

Even when small business owners applied quickly, many have not seen a penny. About 6 in 10 respondents completed their PPP applications within the first five days (April 3-7). Even so, only 5% have so far received funding.

57% of small business owners had problems applying for PPP funds, with many citing inconsistent communication from banks and a lack of clarity about required documents.

58% of entrepreneurs surveyed have laid off employees due to coronavirus-related circumstances, a 21 percentage-point increase from the prior month. Accommodation and food services was the hardest-hit industry, with 82% laying off workers.

"Small businesses continue to struggle as they wait for additional funding of the SBA's Paycheck Protection Program," said Hunter Stunzi, SVP of Business Loans at LendingTree. "Many small business owners without existing banking relationships haven't been able to access the much-needed funds through the PPP. And in response, LendingTree has launched a new program to help small business owners connect with lenders who might be able to help during this unprecedented time of need."