Applications for PA's newest small business relief program open June 30
The PA Small Business Assistance Program will provide up to $225 million in grants for small businesses economically impacted by COVID-19.
Small businesses that have been economically impacted by the COVID-19 pandemic can apply for state grants.
As part of the COVID-19 Relief Pennsylvania Statewide Small Business Assistance program, grants totaling $225 million and ranging from $5,000 to $50,000, will be provided to small businesses, particularly those owned by entrepreneurs of color.
“This program was created because we’re aware that the early federal stimulus dollars did not reach small Pennsylvania businesses,” said Daniel Betancourt, president & CEO of Community First Fund.
Community First Fund is one of 17 Community Development Financial Institutions (CDFIs) that make up the PA CDFI Network that is administering this program.
This is the latest effort by Governor Tom Wolf and the state to help businesses impacted by the pandemic to recoup some of their economic losses.
This grant program will aim to more specifically serve historically disadvantaged businesses. This includes businesses owned and operated by low- and moderate-income people; businesses located in areas of need, including areas with a population where incomes are significantly below the median income level, higher than average unemployment rates, or significant population loss; and businesses most impacted by the economic shutdown and experienced the greatest revenue losses.
The grants will be distributed by need, and not on a first-come, first-served basis.
Senator Vincent Hughes said these grants will go to the “mom and pop shops” and other small businesses because they are “the heartbeat of our community.”
“They contribute to keep things going in a positive direction in our communities,” he added.
To be eligible for the grant, a business must:
- Be physically located, certified to do business, and generate at least 51% of their revenues in Pennsylvania
- Have an annual revenue of $1 million or less prior to the impact of COVID-19
- Have 25 or fewer full-time equivalent employees prior to February 15, 2020.
In addition, the program will also give consideration to women-owned businesses, communities targeted for business investment by state government programs, and rural communities.
“We’ve spent the past few months talking to business owners, community stakeholders, … really working tirelessly to ensure that they have access to any and all financial assistance,” said Secretary Dennis Davin. “[This grant program is] a vital tool to that toolbox.”
The application for the first round of funding opens June 30 and will remain open for 10 business days. To apply, click here.
This article is part of Broke in Philly, a collaborative reporting