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Industry Insight: Outlining State-by-State COVID Support

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A new report has come out detailing the amount of small business support amid the coronavirus pandemic. And while the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loans (EIDL) have received all of the popularity, Best Accounting Software's report details other loan options running at the state level.

In the report, 26 states are running statewide loan options, and only 17 have introduced grant-based schemes. So, did quick lube shops take advantage of the local opportunities? 

Of those surveyed in the NOLN COVID-19 Business Impact Survey Follow-Up, about 74 percent of quick lube operators said they received outside financial assistance. The question remains: Is a business owner more likely to receive financial assistance depending on where they live? And if more funds are available in their state, does that hurt a business owner’s chances of also receiving federal loans, like the PPP and EIDL? 


The Top Five

The report found that location does matter. So, who’s the leader of the pack when it comes to offerings? California, The Golden State. 

When it comes to state support, one of the two loans available, the California Disaster Relief Loan Guarantee Program, has allocated $50 million and guarantees up to 95 percent of the loan for up to seven years. Beside state-level loans, 30 cities and counties across California offered local loans and grants to small businesses.

Wisconsin followed right behind, with this state going heavy on local loans and grants—13 in total—but it's the state government's offerings that really boost its score. According to the report, an initial $5 million Small Business 20/20 Grant was launched during the early stages of the pandemic, followed by a more recent $75 million investment in the “We’re All In” program. This includes $2,500 grants for businesses and $3,000 rental assistance grants.

In third place, we have Virginia. And while the state government hasn’t offered a statewide loan or grant, there are 33 separate loans and grants available to Virginians in different cities and counties. Most notable on the list is the VA 30-Day Fund, offering up to $3,000 in forgivable loans for Virginia-based businesses that employee three to 30 people.

Michigan comes fourth on the list with five loans and grants in total—two of these were limited to tech- or mobility-based companies, however. For loans, the state allocated $10 million worth $50,000 to $200,000, also securing $10 million in grants worth up to $10,000 each. In total, 14 city and county loans are helping Michiganites stay afloat.

Finally, Illinois rounds off the top five. While the state offered two state-level loan programs (which are now closed), the Illinois Small Business Emergency Loan Fund provided up to $50,000 in five-year loans at a 3 percent interest rate, while the Downstate Small Business Stabilization Program allocated $20 million to provide up to $25000 in loans. Other than that, 13 city and county loans were offered with six still remaining open.


The Top 10


  1. California
  2. Wisconsin
  3. Virginia
  4. Michigan
  5. Illinois
  6. Massachusetts
  7. Texas
  8. Maryland
  9. Oregon
  10. Colorado

The Bottom Five

The worst on the list? West Virginia, Idaho, Wyoming, Delaware, and Utah. These states have offered nothing, nada, zip during the pandemic on the state level. None of the states have offered tax deferrals, but four states besides Utah have postponed all court proceedings and deadlines, which suspended commercial evictions.


The Bottom 10


  1. Oklahoma
  2. Hawaii
  3. Georgia
  4. Nevada
  5. Nebraska
  6. Utah
  7. Delaware
  8. Wyoming
  9. Idaho
  10. West Virginia

The Effects

PPP and EIDL Support

So, are some states more likely to receive the PPP and EIDL over others? You betcha. The report found that 25.7 percent of small businesses in North Dakota received the PPP, while only 12.2 percent received it in Maryland. For the EIDL, on the other hand, Hawaiian small businesses received the most support (1.2 percent). While it may seem like more of the PPP and EIDL funds would go to businesses in states with little to no support, there’s no correlation between the two. In fact, West Virginia, along with Tennessee, was least likely to receive the EIDL loan.

State and Local Support

While California came out on top for overall support, Wisconsin and Virginia were the winners when it came to the amount of loans available on the state, county, and city level. For state-level loans and grants, Wisconsin outbeat them all with a total of 20 grants. When it came to loans on the county and city level, 33 counties and cities in Virginia offered their own loans.

With that being said, California was not far behind. The state came second when it came to the amount of counties and cities offering local loans or grants and third on the amount of state loans offered. The state also tied for first when it came to the amount of tax deferrals offered in the state.

The State-by-State Trophy Case


Most State Loans & Grants

  1. Wisconsin (20)

Most Local Loans & Grants

  1. Virginia (33)

Most Likely to Get the PPP

  1. North Dakota (25.71%)

Most Likely to Get the EIDL

  1. Hawaii (1.183%)

The Takeaway

All in all, it seems as if three factors played the biggest role in determining a state’s fate on the list: the amount of loans, grants, and tax deferrals offered—the more there is to offer, the higher they were on the list. And no matter how much financial assistance was available on the state level, it had no effect on the probability of getting federal help.

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