Small businesses and nonprofits in Longmont starting Tuesday can apply for grants of up to $15,000 to help them rebound from the effects of the coronavirus pandemic.
The new city Boost Longmont Business Grant program aims to “encourage the recovery, resilience and long-term viability of local small businesses and nonprofits contributing to a strong local economy,” according to a news release.
The city has set aside $1.1 million from the federal Coronavirus Aid, Relief, and Economic Security Act Coronavirus Relief Fund for the program, according to the release.
City Manager Harold Dominguez in an email Friday said the grant is aimed at boosting small companies and nonprofits that have been especially hard hit by the pandemic.
“The COVID-19 pandemic has caused a lot of hardship, and the economic effects have been particularly difficult for small business and nonprofits to weather,” Dominiguez said. “The businesses drive our economy and these nonprofits support many of our families who have been hardest hit. As we work to recover from this crisis, we must provide opportunities for these institutions to recover as well.
“By supporting them, this funding will provide much-needed support for our entire community.”
To be eligible for the grant program, Longmont small businesses and nonprofits must:
- Have 25 or fewer full-time equivalent employees.
- Have a physical address within city limits and brick-and-mortar premises or mobile units. Home-based businesses or nonprofits do not qualify.
- Have an active city sales and use tax license.
- Be in good standing with city permits, licenses, fees and taxes.
- Have been in operation since or before Jan. 1.
- Have experienced a hardship from closure, dramatic reduction in operations or loss of revenue related to the pandemic.
- Be able to demonstrate how grant funding will support continued operations.
Grants can be used for the following types of eligible expenses incurred prior to Dec. 31 that have not already been offset by other financial assistance or grant funds:
- Commercial lease/mortgage and utility payments.
- Payroll and employee benefits.
- Debt payments.
- Inventory, including perishable inventory that was lost because of a closure or a reduction in operations.
- Revenue lost as a direct result of the COVID pandemic (e.g. through full or partial business closure).
- Equipment supplies and services necessary to reopen/resume/continue operations with COVID-19 safety measures in place, including personal protective equipment, plexiglass, cleaning services and supplies, marketing/signs/website design for a modified business model, onsite testing, safety certifications and contact tracing.
- Equipment, employee training or other expenses associated with pivoting business to meet market demands resulting from COVID-19.
- Other working capital expenses demonstrated as a need and agreed upon by the grant review panel.
Applications, which will be available here starting Tuesday, will be taken through Nov. 1. (The application link is not yet live.) All funds awarded must be spent by Dec. 31.
Grant requests could exceed available funding, according to the release, and applicants will be evaluated and prioritized based on the following criteria:
- Minority-, woman-, veteran, or disabled person-owned business.
- The business or nonprofit is locally owned, operated or headquartered in Longmont (not a franchise or chain).
- The business owner’s home address is in Longmont.
- The business was substantially impacted by COVID-19 (ordered closed, ordered to limit capacity, etc.).
- The business or nonprofit aids in COVID-19 recovery (dependent care, medical/mental health/wellness, transportation, etc.).
- The business or nonprofit helps other local businesses continue to operate (compounding economic benefit).
- The business or nonprofit demonstrates continued viability by showing how it plans to recover and grow in the coming months and year
- The business or nonprofit has not previously received a local COVID-19 recovery grant (e.g. from Longmont Community Foundation, Longmont Downtown Development Authority, Longmont Chamber of Commerce, etc.).
Among the steps the city recommends businesses and nonprofits take to prepare to apply are:
- Verifying they are up to date on sales and use tax returns and payments, or making arrangements to get current on them. They can email [email protected] to discuss options.
- Gathering documentation and evidence of hardship caused by closure, dramatic reduction in operations or loss of revenue related to the COVID-19 pandemic. Documentation should include, but is not limited to, bank statements, point-of-sale revenue reports, reports from accounting software, tax filings, copies of financial ledgers, expense receipts and proof of payment for expenses.
- Documenting how grant funding will support continued operation.
- Gathering receipts for any qualifying purchases already made.
For more information, call Rigo Leal at 303-651-8840 or [email protected]
