Governor Wolf announced this week a new $225 million statewide grant program to support small businesses that were affected by COVID-19 and the subsequent business closure order.
The funds will be available through three programs:
- $100 million for the Main Street Business Revitalization Program for small businesses that experienced loss as a result of the governor’s March 19th, 2020 closure order of all non-life-sustaining businesses or will incur costs to adapt new business operations due to COVID-19
- $100 million for the Historically Disadvantaged Business Revitalization Program for small businesses that experienced loss as a result of the business closure order, have or will incur costs to adapt to new business operations related to COVID-19, and in which socially and economically disadvantaged individuals own at least a 51% interest and also control management and daily business operations;
- $25 million for the Loan Payment Deferment and Loss Reserve Program, which will allow the CDFIs the opportunity to offer forbearance and payment relief for existing portfolio businesses that are struggling due to the impact of COVID, as well as shore up the financial position of the CDFIs that are experience significant increased defaults in their existing loan portfolios.
How to apply the Small Business Grant Program:
All businesses must apply through the Community Development Financial Institutions (CDFI) and meet the program requirements. The minimum requirements are
- The business was in operation on February 15, 2020 and if required paid income taxes to the state and federal government.
- COVID-19 has had an adverse economic impact and makes this grant request necessary to support ongoing operations.
- The grant will be used to cover COVID-19 related costs.
- During 6-1-20 and 12-31-20, the applicant has not and will not receive another grant under this state program.