RICHMOND, Va. (WDBJ/WWBT) - Applications are now open for small businesses and nonprofit organizations whose normal operations were disrupted by the COVID-19 pandemic to receive funding from the state.
Late last month, Governor Ralph Northam announced that $70 million would be made available through Rebuild VA, a new economic recovery fund.
Grants of up to $10,000 will be awarded to about 7,000 applicants to cover eligible expenses.
Rebuild VA will be administered by the Department of Small Business and Supplier Diversity (SBSD). Businesses and nonprofits must be in good standing, have annual gross revenues of no more than $1.5 million, and have no more than 25 employees.
Eligible businesses and nonprofits include food and beverage establishments, non-essential retail, exercise and fitness, entertainment and public amusement, personal care and personal grooming services, and private campground and overnight summer camps.
Businesses must also certify they have not received federal Paycheck Protection Program (PPP) or Economic Injury Disaster Loan (EIDL) funds or other funding from the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act.
“Small businesses and nonprofits are the backbone of the Virginia economy and the bedrock of our communities, and they have been devastated by this ongoing health crisis,” said Governor Northam. “Rebuild VA will help address the vast challenges that small businesses and nonprofits across our Commonwealth are facing as they work to recover from the COVID-19 pandemic. Because many of the affected small businesses and nonprofits located in distressed and economically disadvantaged areas of Virginia, we are designating a portion of this funding to ensure they get the support they need.”
In an effort to accomplish the Northam administration’s objectives for diversity, equity, and inclusion, half of the program funds will be distributed to eligible small businesses and nonprofits operating in low-income and economically disadvantaged communities. Northam says that’s designed to help meet the needs of underserved businesses and nonprofits with broad geographic diversity, while ensuring there is adequate representation of minority- and women-owned businesses.
Rebuild VA funding may be utilized for the following eligible expenses:
- Payroll support, including paid sick, medical, or family leave, and costs related to the continuation of group health care benefits during those periods of leave;
- Employee salaries;
- Mortgage payments, rent, and utilities;
- Principal and interest payments for any business loans from national or state-chartered banking, savings and loan institutions, or credit unions, that were incurred before or during the emergency;
- Eligible personal protective equipment, cleaning and disinfecting materials, or other working capital needed to address COVID-19 response.
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