Longtime enterprise homeowners inside the metropolis of Los Angeles who’re nonetheless reeling from the COVID-19 pandemic’s results can now apply for grants of as much as $20,000 geared toward serving to them overcome their challenges.
The Legacy Enterprise Restoration Grant Program makes use of funding from the federal American Rescue Plan Act, a 2021 legislation that provided direct reduction to people and small companies affected by the pandemic.
The grants — $10,000 for eligible companies with 5 or fewer staff, and $20,000 for eligible companies with six or extra — may be spent on certified COVID-19 restoration enterprise bills.
This system is an ongoing initiative to assist legacy companies, which town defines as small companies which were operational for 20 or extra years, in response to a information launch.
This system started accepting purposes Monday, and the deadline to submit an utility with the required documentation is Sept. 15.
If the variety of qualifying purposes acquired exceeds the quantity of grant funding accessible, recipients will likely be chosen by town’s Financial and Workforce Growth Division in response to this system’s funding priorities (see under).
Grants will likely be dispersed in October and November.
Who’s eligible for the grant?
Eligible companies have to be listed on town’s Legacy Enterprise Registry and take part within the Legacy Enterprise Program. To use to be listed, name the Financial and Workforce Growth Division at (213) 744-7300.
The enterprise have to be a for-profit one in Los Angeles and it should function from a industrial, industrial or manufacturing location. Dwelling-based companies can’t obtain grants.
To be eligible, a enterprise’ annual income can’t exceed $3 million and the enterprise have to be in good standing with the California secretary of State.
The enterprise additionally should disclose whether or not it has acquired funding from different federal, state, or native sources, together with the Paycheck Safety Program, which supplied forgivable loans from the U.S. Treasury Division. Candidates who’ve acquired funding are nonetheless eligible, supplied that the funds usually are not at present being spent on the identical bills that might be coated by the Legacy Enterprise Restoration Grant.
Ineligible companies embody publicly traded corporations, hashish companies and corporate-owned franchises. For an entire checklist of ineligible enterprise classes, verify the Legacy Enterprise Program web site.
Some purposes take precedence
When contemplating a enterprise proprietor’s utility, town stated, the Financial and Workforce Growth Division will prioritize purposes from companies in low- and moderate-income communities in addition to the companies of low- and moderate-income homeowners, as outlined by the U.S. Division of Housing and City Growth.
“Low earnings” is outlined as 50% of the realm median earnings, and “reasonable earnings” is 80% of the realm median.
The division will even give precedence to companies going through an imminent risk of displacement.
What you’ll want to use
Town requires candidates to submit sure types of proof to confirm that their companies are eligible for help.
Required paperwork embody:
- 2021 and 2022 tax returns;
- Payroll tax varieties to confirm the variety of staff;
- A duplicate of a government-issued identification, equivalent to a driver’s license or passport;
- The three most up-to-date month-to-month financial institution statements;
- If relevant, documentation displaying imminent risk of displacement.
Extra paperwork could also be requested if essential to confirm that the enterprise is eligible.
What can the grants be used for?
Candidates should comply with spend the grants on solely sure enterprise bills, together with:
- Worker payroll;
- Lease, utilities and insurance coverage;
- Fee of excellent enterprise bills incurred on or after March 3, 2021;
- Authorized charges to barter long-term lease settlement.
Extra details about the grant program is offered by calling the Financial and Workforce Growth Division.
