by Timothy McQuiston, Vermont Business Magazine Several important economic recovery loan and grant programs, with both federal and state funding, are approaching deadlines. But those and some ongoing programs still have money available. The most pressing grant program is the state sole proprietor program whose final application deadline is Thursday at midnight and whose funding will likely be exhausted. Other programs like the SBA's EIDL and Paycheck Protection Program (PPP) are still open for new applications and still have money available. The state's own Economic Recovery Grants programs also have funds available.
Economic Development Commissioner John Goldstein told VBM Tuesday that while the US SBA EIDL grant/advances are no longer available, the loan portion of the program is still open. Small businesses typically can get up to $150,000 in the form of a low interest loan with payments not beginning for 12 months.
For the PPP, which is mostly a grant program if funds are used to sustain employment, the August 8 deadline is fast approaching. The PPP offers a greater amount of money than the EIDL or any of the other financing available by the state or federal governments.
Click HERE for information on how to apply for the PPP and EIDL. Frequent Webinars are also available (see below).
Goldstein said, "There are still ample funds available in PPP. The date may be extended as we watch what the Senators and Congress do: It may be extended and it may allow those who already received a PPP to get another one. All eyes on DC to see what will survive the talks."
As for the state grants, there is still time and money to apply for most, but not all, of them.
The Tax Department and the Agency of Commerce & Community Development offer Economic Recovery Grants to small businesses from two pools of money (see links below).
The first pool of money is comprised of $70 million allocated by the Legislature. Some $50 million of this is being distributed by the Tax Department and targets restaurants, hospitality and retail operations. Those close-contact businesses were shut down in the early spring as part of the mitigation efforts to slow down the pandemic in Vermont. Another $20 million is available to general business.
The second, larger pool of $96 million is available to small businesses who have seen significant losses as a result of the pandemic. All these programs come with some strings attached.
"Yes, there is still money available in both the Tax and ACCD programs," Goldstein said. "Tax has distributed about $50 million and is about finished with the current applicants. ACCD has distributed $10.8 million and will distribute approximately another $10 million this week. In total, the ACCD program received $43 million in total ask. There is money available in both programs, so, yes, businesses should definitely apply."
A separate program targeting sole proprietors (see links below) has nearly concluded.
Housing Commissioner Josh Hanford said the sole-proprietor grant registration deadline ended Monday night at midnight, however for those who have registered, the application submission deadline is Friday (July 31) at midnight. As of Tuesday morning there were 110 completed applications submitted; 251 incomplete; and 81 in process.
Hanford said all funding ($1.5 million) is anticipated to be awarded on August 14 through a lottery system.
"We are planning to make available an additional allocation of $1.8 million in CDBG sole-proprietor grants in mid-August," he said.
Sole Proprietor Grants Application Deadline
The Sole Proprietor Stabilization Grant Program application window closes this Friday, July 31, 2020. Grants of $5,000, $7,500 or $10,000 to qualifying sole proprietors will be awarded through a lottery draw. Full details can be found on the program portal, including the program breakdown, eligibility requirements, application materials and timelines, as well as technical assistance and FAQs.
Economic Recovery Grants
Funds are still available to Vermont businesses who can demonstrate a revenue decline of at least 50% in any one-month period from March 1, 2020 to August 31, 2020, when compared with the same month in 2019. The Economic Recovery Grants landing page has full details, including eligibility requirements, document preparation instructions, and a series of FAQs to assist businesses in completing the application.
September 8 to be Official School Start Date
Governor Phil Scott announced he will sign an executive order calling for a universal school start date of September 8, 2020, which will give schools more time to test and fine-tune plans for the start of the academic year. State, school and health officials said at Tuesday’s press conference the data still supports in-person learning that can be done in a safe and measured way.
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Business Impact
ACCD wants to hear from all Vermont businesses impacted by the response to the COVID-19 virus. Please share these impacts via the ACCD Business Impact Form, which will help us assess the full impact as we work toward solutions.
PPP Forgiveness Daily Webinar
The SBA Vermont District Office hosts a free daily webinar from 9 to 10 a.m. Monday to Friday to discuss Paycheck Protection Program forgiveness and other changes.
To join the webinar, visit https://meet.lync.com/sba123/sbmazza/SFFM2N9R.
To join by phone, call (202) 765-1264 and when prompted enter the code 237511921#. Upon joining the call, mute the phone to cut down on the background noise and please do not place the call on hold as the hold music will be heard over the presenter.
For more information, email [email protected].
PPP & EIDL Webinar Tuesdays & Thursdays
In response to the COVID-19 pandemic the SBA Vermont District Office hosts a free webinar from 9 to 10 a.m. Tuesdays and Thursdays to discuss the Paycheck Protection Program, the Economic Injury Disaster Loan and Advance, and any pertinent updates.
To join the webinar, visit https://meet.lync.com/sba123/sbmazza/6F6N4YK6.
To join by phone, call (202) 765-1264 and when prompted enter the code 470177937#. Upon joining the call, mute the phone to cut down on the background noise and please do not place the call on hold as the hold music will be heard over the presenter.
For more information, email [email protected].
Source: Agency of Commerce & Community Development. 7.28.2020