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Who you know matters, even when applying for PPP loans | The Source | Washington University in St Louis

Who you know matters, even when applying for PPP loans New research finds favoritism among forgivable government loans: A business having a previous lending relationship with bank increases likelihood of obtaining PPP funds by 57% (Image: Shutterstock) February 15, 2021 SHARE In the chaotic early weeks of the COVID-19 pandemic, the Paycheck Protection Program (PPP) was a lifeline for many struggling businesses. It provided government-guaranteed, forgivable bank loans to businesses with less than 500 employees to cover payroll, utilities, mortgage and rent costs. There was a mad dash for the first round of PPP loans, and the $349 billion fund was depleted in less than two weeks. Many small businesses were shut out while larger companies and franchises received millions in forgivable loans.

Price is ripe: Study finds increase in menu prices means decrease in restaurant ratings | The Source

January 28, 2021 SHARE (Image: Shutterstock) Businesses beware: A price increase for carryout or delivery food means an increase in negative reviews and a downturn in restaurant reputation, if not demand. And it’s notable that in these COVID-19 pandemic times, an exponential amount of business is being conducted via carryout or delivery. A pair of business researchers, from Washington University in St. Louis and Harvard University, studied the relationship between price and reputation by looking at online orders through Yelp’s Transaction Platform from its 2013 inception until January 2019, and then the resulting reviews. What they found: Ratings are price-adjusted rather than objective reviews of quality.

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