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Contact Congress About the Impact of COVID-19

The Association for Corporate Growth ? surveyed its network April 4 through April 6 about eligibility for the Paycheck Protection Program (PPP) and received 1,131 responses via survey monkey. While 38% reported eligibility, 62% of respondents said that either their own organization or their client’s company is excluded from participating in the PPP, a $359 billion loan program established under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Asked about how the exclusion will impact the business:?

  • 77% reported the PPP exclusion will impact the survival of their business
  • 92% stated the PPP exclusion will result in employees being laid off
  • More than 85% anticipate layoffs in the next month – of which 61% expect that to occur in the next two weeks

ACG estimates that of the 45 million Americans employed by middle-market companies, 5 million jobs are at risk.? While the PPP was designed as an incentive for small businesses to keep workers on their payrolls, the program excludes a number of small and midsize companies that are backed by private equity firms. Because of the "affiliation rules," even companies that meet the size threshold may not qualify if the number of employees across the portfolio is greater than 500.

A great resource from the National Center for the Middle Market can be found here.?

Please contact your members of Congress today.?

Suggested salient points:?

  • Be gracious - "we are all in this together"
  • State your case - eligible or not - and the challenges your business faces
  • What has happened to date - i.e., business is at a standstill, etc.?
  • Number of employees, be specific if your employees receive health insurance and other benefits?
  • Anticipated number of layoffs, and what benefits will be lost?
  • Multiplier effect to other businesses that rely on your company?
  • Your history in the community
  • Urge Congress to waive the “affiliation” rules to prevent imminent layoffs at your company, in your community and throughout the country.
  • Offer to speak by phone

Feel free to use this copy as a framework for your letter.

ACG will collect information about companies?impacted by the PPP and use them in their continued advocacy efforts. The form below is completely voluntary.?

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