Apply for California’s Small Business Relief Grants Today!

The California Office of the Small Business Advocate will accept applications for the Small Business COVID-19 Relief Grant from small businesses impacted by COVID-19 between December 30, 2020 and January 8, 2021. $475 million in grants are available. Begin preparing your documents at CAreliefgrant.com.

Program Overview

• $475 million of funding administered by the California Office of the Small Business Advocate will be distributed by Lendistry as the Intermediary, with certain third-parties designated by Lendistry to provide additional support (“Partners”).  Anticipate issuing grants in the following two (2) rounds of distributions:
  • Round 1 – approximately $237.5 million
  • Round 2 – approximately $237.5 million
• The program is not on a “first come, first served” basis.
• The application portal for each round will be open for a designated period of time determined by Lendistry.
• Partners will conduct outreach and marketing to ensure small, vulnerable and disadvantaged businesses and nonprofits have access to the grant application platform.

Eligibility

• Must meet the definition of an “eligible small business” operating in California.
• “Small businesses” means sole proprietors, independent contractors, 1099 workers, and/or registered “for-profit” business entities (e.g., C corporations, S corporations, limited liability companies, partnerships) that have yearly gross revenue of $2.5 million or less based on most recent available tax return (2018 or 2019); must have minimum yearly gross revenue of $1,000.
• “Small nonprofits” means registered 501(c)(3), 501(c)(6) or 501(c)(19) nonprofit entities that have yearly gross revenue of $2.5 million or less based on most recent available Form 990 (2018 or 2019); must have minimum yearly gross revenue of $1,000.
• Active businesses or nonprofits operating since at least June 1, 2019 must currently be operating or have a clear plan to re-open once the State of California permits re-opening of the business.
• Business must be impacted by COVID-19, and the health and safety restrictions such as business interruptions or business closures incurred as a result of the COVID-19 pandemic.
• Business must be able to provide organizing documents including 2018 or 2019 tax returns or Form 990s, copy of official filing with the California Secretary of State, if applicable, or local municipality for the business such as one of the following: Articles of Incorporation, Certificate of Organization, Fictitious Name of Registration or Government-Issued Business License.
• Business must be able to provide acceptable form of government-issued photo ID.
• Applicants with multiple business entities, franchises, locations, etc. are not eligible for multiple grants and are only allowed to apply once using their eligible small business with the highest revenue.

Grant Recipients Will be Determined Based on:

• Businesses located in areas impacted the most by the effects of COVID-19, based on COVID health and safety restrictions following California’s Blueprint for a Safer Economy, local county status, and Regional Stay At Home orders available at: https://covid19.ca.gov/safer-economy.
• Businesses impacted the most financially based on gross revenue losses.
• Certain impacted industries including retail, food and hospitality, health and wellness, and personal care (beauty/nail salons, spas and barbershops).
• “Underserved small business groups” meaning (I) women-owned, Minority/Person of Color-Owned, or veteran-owned businesses where at least 51% of the business is owned and run on a daily basis by said group(s), and (II) businesses located in Low-to-Moderate Income (LMI) and Rural communities.

Grant Funding Structure

If you have any questions regarding the information in this article, please contact your relationship partner at Fineman West or send us an email at info@fwllp.com.