Inflation Woes: Did PPP loans $25,000 or under to Iowa businesses contribute to inflation?

By Hawkeye Reporter

Nov 2, 2022

There were 49,101 small businesses in Iowa which received Paycheck Protection Loans (PPP) of $25,000 or under. These 49,101 businesses received $598,447,580 in total since the COVID-19 pandemic began, according to the U.S. Small Business Administration

Loans of $25,000 were provided to 126 businesses.

The largest loan underneath the $25,000 threshold was $25,000, given to Red Bike Iowa City, LLC.

The average loan amount provided to Iowa small businesses was $44,244.

One of the biggest drivers causing inflation, which is currently decimating the U.S. economy, is loans. With more money available to residents through the PPP, the purchasing power of that money is diminished, meaning it takes more money to buy the same amount of goods as before.

Economist Mickey D. Levy argued the PPP and many other assistance programs offered during the COVID-19 pandemic sparked the inflation seen in recent months by boosting the economy beyond what it could reasonably handle.

Roughly $800 billion was injected into the U.S. economy while interest rates were low, causing people to overextend themselves at the time to land in trouble in the future, he claimed.

A 2022 study found that the PPP spent between $169,000 and $258,000 to protect one job. With the average salary of a small-business worker being around $58,000, the study found the program overspent by roughly 75 percent.

Top 100 Iowa Businesses Which Received PPP Loans $25,000 or Lower

Borrower Name	Loan Amount	Difference From Average Loan Amount in IA
Red Bike Iowa City, LLC	$25,000	-$19,244
Greco and Associates Fin Services	$25,000	-$19,244
Law Office of Joel Walker, PC	$25,000	-$19,244
Michael Moran	$25,000	-$19,244
Tama-Toledo Eagles Aerie Management, LLC	$25,000	-$19,244
Bohlmann and Sons Sanitation, LLC	$25,000	-$19,244
Brower Bowling, Inc.	$25,000	-$19,244
Skinner Innovations, LLC	$25,000	-$19,244
Genesis Satellite Center, LLC	$25,000	-$19,244
Veath Dental, Inc.	$25,000	-$19,244
Thai Spice, Inc.	$25,000	-$19,244
Casey C Miller DC, PC	$25,000	-$19,244
Kanne & Associates, LLC	$25,000	-$19,244
It's a Ruff Life Doggy Daycare	$25,000	-$19,244
Heartland Automation, Inc.	$25,000	-$19,244
Agpro Partners Midwest, LLC	$25,000	-$19,244
Genesis Satellite Center, LLC	$25,000	-$19,244
Centerville Greenhouses, Inc.	$25,000	-$19,244
Ifos, LLC	$25,000	-$19,244
Furry Friends Refuge	$25,000	-$19,244
Furry Friends Refuge	$25,000	-$19,244
Healthquest Chiropractic & Wellness	$25,000	-$19,244
Black Hawk Gymnastics & Cheer, LLC	$25,000	-$19,244
Kuchel Homes, LLC	$25,000	-$19,244
Mcnally Dairy	$25,000	-$19,244
Dancom, Inc.	$25,000	-$19,244
Bormanns Neighbrohood Pitstop, LLC	$25,000	-$19,244
Caswell Excavating, Inc.	$25,000	-$19,244
Healthquest Chiropractic & Wellness Center, P.C.	$25,000	-$19,244
Furry Friends Refuge	$25,000	-$19,244
Furry Friends Refuge	$25,000	-$19,244
Britt Auto Service	$25,000	-$19,244
YHWH, LLC	$25,000	-$19,244
Soma, LLC	$25,000	-$19,244
Cia Health Screening, Inc.	$25,000	-$19,244
David V. Stoner Farms, Inc.	$25,000	-$19,244
Max Tire and Auto, Inc.	$25,000	-$19,244
Rust Insurance, Inc.	$25,000	-$19,244
Marco's, Inc.	$25,000	-$19,244
YHWH, LLC	$25,000	-$19,244
Storm Rummel, Inc.	$25,000	-$19,244
Bockman, Ltd.	$25,000	-$19,244
Agri-Valley Farm Management, LLC	$25,000	-$19,244
Integer Logistics Group, Inc.	$25,000	-$19,244
Countywide Electric, LLC	$25,000	-$19,244
Rhino Concrete Company, LLC	$25,000	-$19,244
Countywide Electric, LLC	$25,000	-$19,244
Mark L. Chipokas, PC	$25,000	-$19,244
Get Organized!, LLC	$25,000	-$19,244
The First United Methodist Church of West Branch, Iowa	$25,000	-$19,244
MWB Transfer, LLC	$25,000	-$19,244
Larrys Agent Repair, LLC	$25,000	-$19,244
Kreamer Law Firm, P.C.	$25,000	-$19,244
Howell Chiropractic Center, LLC	$25,000	-$19,244
Community Veterinary Clinic, PC	$25,000	-$19,244
Universal Stone, LLC	$25,000	-$19,244
Christensen Agri-Seed, Inc.	$25,000	-$19,244
Usgaard & Smith Sales & Service	$25,000	-$19,244
Moore Seed & Service	$25,000	-$19,244
Daniel R Burgmeier, PC, D.D.S.	$25,000	-$19,244
Dancom, Inc.	$25,000	-$19,244
Seneca Street Saloon, Inc.	$25,000	-$19,244
Dennis Mordhorst, Inc.	$25,000	-$19,244
Revolt, Inc.	$25,000	-$19,244
Pape Brothers Insurance, Inc.	$25,000	-$19,244
Los Lagos, LLC	$25,000	-$19,244
Zanker Meats, Inc.	$25,000	-$19,244
Spine & Sport Chiropractic Center, P.C.	$25,000	-$19,244
Curriculum Management Solutions, Inc.	$25,000	-$19,244
Profit Consultants, LLC	$25,000	-$19,244
KVG, LLC	$25,000	-$19,244
Boone Area Humane Society	$25,000	-$19,244
Patterson James Funeral Chapels, Inc.	$25,000	-$19,244
Caswell Excavating, Inc.	$25,000	-$19,244
John Pratt Financial, LLC	$25,000	-$19,244
LL Davis Trucking, LLC	$25,000	-$19,244
Kertel's Plumbing & Heating, Inc.	$25,000	-$19,244
Hohbach Construction, Inc.	$25,000	-$19,244
Rose Valley Farm	$25,000	-$19,244
Strang Tire Company	$25,000	-$19,244
Get Organized!, LLC	$25,000	-$19,244
515 Real Estate and Insurance	$25,000	-$19,244
Child Development, Inc.	$25,000	-$19,244
Child Development, Inc.	$25,000	-$19,244
Cy's Tree Service, LLC	$25,000	-$19,244
Cloverdale, Inc.	$25,000	-$19,244
Next Phase Development, LLC	$25,000	-$19,244
W & W Construction, LLC	$25,000	-$19,244
The River's Edge	$25,000	-$19,244
P & N Corporation	$25,000	-$19,244
Iowa Anesthesia Care, PC	$25,000	-$19,244
Nathan Hull Insurance Agency, Inc.	$25,000	-$19,244
Ross Buys, LLC	$25,000	-$19,244
Associated Management, LLC	$25,000	-$19,244
Adelisa, LLC	$25,000	-$19,244
Dutch Creek Trucking, LLC	$25,000	-$19,244
S & J Lawler, Inc.	$25,000	-$19,244
The First Christian Reformed Church of Rock Valley, Iowa	$25,000	-$19,244
Farmers Mutual Insurance Association of Roselle	$25,000	-$19,244
Black Hawk Gymnastics & Cheer, LLC	$25,000	-$19,244