1 in 4 Natural Products Businesses Unable to Submit Application for Paycheck Protection Program
WASHINGTON – A new survey out today by the Natural Products Association (NPA) shows how hard the natural products industry has been hit by the COVID-19 crisis. According to the new survey, one in four natural products businesses were unable to submit their application. Twenty four percent of businesses who reapplied for a loan received one. This new survey is a follow up survey of natural products businesses that was released on April 21, 2020.
Additional details of the survey include:
- 70% of businesses applied for a PPP loan, down 3% from the initial survey
- 46% of businesses that applied for a PPP loan have not received a loan
- 27% of businesses were unable to submit an application for a PPP loan
- 24% of businesses that reapplied have received a PPP loan
- $1,862,500 in loans has been received by businesses, 22% of the total amount of requested in the initial survey
“Parts of the industry have been hit harder than others, but the fact that our businesses have stayed open as essential in most states has helped to mitigate some of the impact,” said Daniel Fabricant, Ph.D., President and CEO of NPA. “As our nation opens the economy back up we will have to continue working with the Administration, governors, and lawmakers to support our small businesses.”
The Department of Homeland Security (DHS) recently declared health food stores and supplement manufacturers to be essential during the COVID-19 public health crisis. Health food stores provide a wide range of essential products, including, water, electrolytes, nutritional supplements, healthy food options, and other health-related products such as hand sanitizer.
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Natural Products Association
The Natural Products Association (NPA) is the trade association representing the entire natural products industry. We advocate for our members who supply, manufacture and sell natural ingredients or products for consumers. The Natural Products Association promotes good manufacturing practices as part of the growth and success of the industry. Founded in 1936, NPA represents over 700 members accounting for more than 10,000 locations of retailers, manufacturers, wholesalers and distributors of natural products, including foods, dietary supplements, and health/beauty aids. Visit www.npanational.org.