Newsy Investigates: Bureaucratic Blunders Block Small Business Relief

Terri Senecal, co-owner of Sacchetti Music, faced challenges during the pandemic. Invited by the SBA to apply for COVID aid, her application was rejected due to incorrect reasons like unpaid child support, which she never owed. Many small business owners faced similar issues due to new anti-fraud measures and technical glitches. The SBA acknowledged errors and set up an appeal process. Some, like Jamie Quinones, succeeded in appeals, while others, like Senecal, were denied due to technicalities. The situation highlights the balance between preventing fraud and supporting genuine businesses.

What issues did applicants face when applying for the Targeted EIDL Advance funds?

What were the reasons provided by the SBA for denying most applications for aid?