Eligible Business Qualifications
Small businesses, Micro-businesses, and For-profit independent arts and cultural organizations (collectively, “Eligible Applicants”) must be currently viable and have begun operation on or before March 1, 2019, and continue to be in operation as of the date of application (maybe shuttered due to COVID restrictions). See the FAQ section below for definitions of business categories above.
Eligible Applicants will be required to show loss of gross receipts as a result of the COVID-19 pandemic or compliance with COVID-19 health and safety protocols which resulted in business modifications, interruptions, or closures.
Small businesses and Micro-businesses must:
1. Have 2019 or 2020 Gross Receipts of between $25,000 and $500,000 per annum
- line 1a, IRS Form 1120 or 1065;
- line 1, IRS Form 1040 Schedule C
- sum of line 1a + line 2, IRS Form 1040 Schedule F
2. Demonstrate positive net profit on 2019 Business Return ($1 or greater)
- line 28, IRS Form 1120 (line 21, IRS Form 1120S);
- line 22, IRS Form 1065; or
- line 31, IRS Form 1040 Schedule C; or
- line 34, IRS Form 1040 Schedule F
3. Demonstrate at least 25% loss in Annual Gross Receipts in a year-to-year gross receipt comparison as of December 31, 2020 to the same period in 2019.
- Loss to be calculated based on the difference between line 1a on IRS Form 1120 or 1065 (, line 1, on IRS Form 1040 Schedule C), or the sum of line 1a + line 2 on IRS Form 1040 Schedule F reported on 2019 federal tax return and line 1a on IRS Form 1120 or 1065 (, line 1, on IRS Form 1040 Schedule C), or the sum of line 1a + line 2 on IRS Form 1040 Schedule F reported on the 2020 federal tax return (in each case covering the same period). The calculated value must show a reduction of 25% year over year. Businesses with a partial tax year in 2019 will calculate a 25% loss based on the comparable number of months in 2020.
4. Demonstrate that the total business expenses on the 2020 business income return are greater than the grant amounts.
- Total expenses calculation versus [proposed grant amount will be based on business expenses reported on 2020 federal tax return submitted by the applicant.
5. Not have qualified for business grant assistance programs under the federal American Rescue Plan Act of 2021 or any other available federal COVID-19 economic recovery or business assistance grant programs, including loans forgiven under the federal Paycheck Protection Program, or are unable to obtain sufficient business assistance from such federal programs.
- Eligible Applicants may have received or been awarded the following federal assistance:
- Paycheck Protection Program loans totaling $100,000 or less.
- COVID-19 EIDL Advance Grant of $10,000 or less.
- COVID-19 EIDL Supplemental Targeted Advance Grant of $5,000 or less.
- SBA Shuttered Venue Operator Grant.