Press Releases

Wexton Releases Results of VA-10 Small Business Lending Survey

The survey includes responses from almost 200 VA-10 small businesses who have applied for relief through recently enacted Small Business Administration lending programs

Sterling, VA -- Today, Congresswoman Jennifer Wexton (D-VA) released the results of a survey her office conducted of VA-10 small businesses that have applied for Small Business Administration (SBA) loans. The survey asked respondents to provide feedback on their experience applying for loans and grants through the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program. The results of the survey reflected national reporting on the troubled rollout of the two loan programs. In total, there were 198 responses.

Results from Wexton’s survey:

  • 51% applied for a Paycheck Protection Program loan
  • 35% applied for an Economic Injury Disaster Loan 
  • 11% applied for both PPP and EIDL 
  • 30.8% of respondents indicated that their application was processed
  • Just 6.6% had received confirmation that their loan had been approved. All 13 of those respondents had applied only for PPP loans. 
  • Not a single EIDL loan applicant had received a response or confirmation from the SBA 
  • Only 3 respondents who had received confirmation that their PPP loan had been approved affirmed that they had received funding from their lender 

Key excerpts from VA-10 small businesses:

“Has been very confusing as guidelines are changing daily. I don’t like signing for something no one fully understands.”

“I am worried about whether my loan has even been processed. The bank seems overwhelmed. It takes at least 2 weeks to process.”

“I haven't received notice that the SBA even received my application”

“The SBA gave me a confirmation number regarding my application for the EIDL.  I haven’t heard from them once (2weeks)”

“We are dying on the vine here.”

“The government said we could apply on 4/3, but the bank wasn't ready until 4/5...I've been keeping 12 people on payroll through my emergency savings for two weeks…”

“This is taking much longer than anticipated. I also applied for the grant and have not heard anything back about it or the EIDL. It's been almost two weeks. I've been mandated to close since March 24th and am still paying full rent and expenses for April and likely May and June also.”

“The results of this survey were deeply alarming -- I could count the number of small businesses that have actually received funding on one hand,” said Congresswoman Jennifer Wexton. “I understand that there are a lot of people working very hard to disburse these funds, but it’s not enough. Too many small businesses are hanging on by a thread -- and further delays in disbursement could be catastrophic -- the administration must take steps to streamline this process to get help to the small businesses that need it as quickly as possible. Timing is critical, if businesses are forced to wait much longer for relief, many will not be able to reopen when the pandemic subsides.”

Wexton raised the alarm regarding the rollout of small business relief efforts by the administration early on. Shortly before the Paycheck Protection Program was to be implemented, Wexton urged local lenders to do what they could to support small businesses while pressing the administration to issue additional guidance on the implementation of the PPP loans.

Wexton went on to say, “I’m communicating with both lenders and small businesses in my district daily. I’m sharing their concerns with both SBA and Treasury to try and resolve issues administratively where possible. In the meantime, I’m strongly advocating for additional funding for SBA’s Economic Injury Disaster Loans as well as the Paycheck Protection Program in the interim relief package currently being negotiated.”

Wexton has been in regular contact with both small businesses and lenders. On Monday, she held a Small Business Town Hall where she presented constituent questions to the Washington Metropolitan District Director for SBA. Shortly afterward, she met with Virginia bankers to discuss what could be done to streamline the disbursement of PPP loans. 

Wexton’s office has prepared a host of resources to help small businesses access resources available to them on her website. Additionally, Wexton’s office is encouraging constituents applying for PPP loans to request a letter of introduction from her office and those applying for EIDL funds to request a letter of support

Respondents were asked the following questions after being asked to provide their name, zip code and the name of their business: 

  • Have you applied for an SBA loan?
  • What kind of loan did you apply for?
  • Was your application processed?
  • Have you received confirmation that your loan was approved?
  • If you applied for a PPP loan, what lender did you apply through?
  • What other information about the application process would you like to share with our office?

Wexton’s survey of small businesses took place from April 9 through April 13. It was conducted through her e-newsletter sent directly to the emails of more than 170,000 VA-10 constituents, shared with local chambers of commerce, posted to her social media channels, and served as a Facebook ad to residents of Virginia’s 10th Congressional District.