Mike Demicco

Last week, a grant opportunity called the CT CARES Small Business Grant Program was announced, and it will soon be available for small businesses.

The grants, run by the Department of Economic and Community Development, will aid 10,000 local businesses and nonprofits, and can be used for nearly all regular business expenses, including new costs associated with COVID-19 compliance.

To fund the program, Governor Lamont is committing $50 million from the state’s Coronavirus Relief Fund, which utilizes federal CARES Act funding.

Businesses and nonprofits in Connecticut that have fewer than twenty employees or a 2019 payroll of less than $1.5 million will qualify for a one-time grant of $5,000.

Grants will be awarded on a first-come, first-served basis, with half of the funds dedicated to small businesses and nonprofits located in designated distressed municipalities. DECD estimates it will begin accepting online applications the week of November 9, and all of the funds are anticipated to be disbursed by December 30.

Eligibility requirements:

•  Business must have no more than 20 total FTEs in 2019 across all of their Connecticut locations, or have total 2019 payroll of less than $1.5 million (annualized). FTE and payroll include affiliated companies.
• Businesses must be able to demonstrate a 20% or more loss in revenue year to date as of September 30th, 2020 compared with the same period in 2019.
• Business must have been established by October 1, 2019 and still be active (as verified by DRS).
• Home-based businesses are eligible.
• Eligible entities: for-profit businesses that use any type of incorporation, as well as 501(c)(3), 501(c)(4), 501(c)(6), 501(c)(7), and 501(c)(19) nonprofit organizations.
• The business must remain a viable business, be planning to reopen, and be planning to rehire any workers let go due to COVID as business conditions recover, and have a material financial need that cannot be overcome without the grant of emergency relief funds.
• Companies must be in good tax standing with DRS or current on a payment plan or consent to use a portion and/or all of their grant to remedy the delinquency.
• Sole proprietorships are eligible.

  The grants can be used for the following:

• Payroll
• Rent/Mortgage
• Utilities
• Inventory
• Purchase of Machinery and/or Equipment
• Cost associated to ensure compliance with CT Reopen Business Sector Rules

More information can be found here. For additional assistance, please connect with a DECD representative by calling the hotline at (860) 500-2333 or emailing decdctrecovery@ct.gov.

Please note: Landlords that are sole proprietors that may be struggling may qualify for the Small business grant.