Mackinac Economic Alliance
COVID Disaster Assistance Update
7 Grants Available to U.P. Small Businesses:
EMPLOYEE RETENTION TAX CREDIT – IRS
Businesses with 500 or fewer employees, more than 20% decline of gross receipts in a quarter compared to 2019. Refundable, advanceable tax credit of up to $14,000 per employee Based on your 2020 tax filing. Talk to your tax accountant or payroll expert.
PAYROLL PROTECTION PROGRAM (PPP)
SECOND ROUND – Small Business Administration
Businesses with 300 or fewer employees, exhausted first PPP loan, more than 25% decline of gross receipts in a quarter compared to 2019. Check with your local bank because certain industries can apply for 3.5 times payroll cost versus 2.5 times payroll costs.
Forgivable loan up to $2 million
Administered by any SBA 7a lender such as community financial institutions, CDFI, etc.
March 31, 2021 or when funds are exhausted
-Those who didn’t apply for the first round are still eligible to apply
-Perishable goods can be included in the forgiveness portion (restaurants/bars)
-Self-employed individuals DO qualify
-Expedited forgiveness process for loans under $150k
ECONOMIC INJURY DISASTER LOAN (EIDL) – Small Business Administration
Businesses with 300 or fewer employees, located in a census tract eligible for New Market Tax Credit (businesses can verify if they are in an area here.) 30% reduction in gross receipts for an 8-week period between 3/2/20 and 12/31/20 compared to a similar period.
Priority for a full EIDL grant of $10,000 for those who didn’t receive previous funding (if you received partial or were denied the first round you can reapply for a max of $10,000)
This program will close once money has been exhausted
Can only receive the EIDL or Shuttered Venue Grant, not both. Can apply for both and accept one if approved for both.
MICHIGAN RESTAURANT & LODGING EMPLOYEE ASSISTANCE GRANTS – Michigan Restaurant & Lodging Association
$45 million in one-time grants to employees impacted by the MDHHS Gathering and Face Mask Order
Max grant amount is $1,650
Application opens January 15 at 9 am ET and closes January 25 at 5pm ET
MICHIGAN STAGES SURVIVAL GRANT PROGRAM – Michigan Independent Venue and Promoter Association
$3.5 million to provide grants to entertainment venues affected by the COVID-19 pandemic and emergency declarations.
Max grant amount is $40,000
Application opens January 21 at 9am ET and closes January 28 at noon ET
MICHIGAN SMALL BUSINESS SURVIVAL GRANT PROGRAM – MEDC
$55 million to help small businesses impacted by COVID-19, grants will be made available to small business across the state
Max grant amount is $20,000
Administered by local economic development organizations
Application opens January 19 at 9am ET and closes January 22 at noon ET
COVID-19 testing criteria in Michigan has been expanded to include individuals with mild symptoms and essential workers that have to leave home to work (even if they don’t have symptoms). Find your nearest testing location HERE.
Additional Resources Available Online
- Access additional resources by visitingmichiganbusiness.org/covid19
- Visit michigan.gov/coronavirus to find valuable resources for employers, workers, residents, and communities and stay informed on Michigan’s latest efforts to mitigate the impact of the virus on our state’s residents and economy.
- Information around this outbreak is changing rapidly. The latest information is available athttps://www.michigan.gov/coronavirus and https://www.cdc.gov/coronavirus
When preparing your application to either the EIDL or PPP program, please consider the recommendations of the SBA & SBDC to reduce your funding needs by:
- Request your Bank to waive loan payments for the next 2 – 3 months.
- Request your Landlord to defer lease/rent payments for 2 – 3 months.
- Request Vendors / Creditors to suspend payments for 2 – 3 months.
- Apply for SBA funding for remaining needs for the next 2 – 3 months.
- Laid-Off Employees should be directed to apply for Expanded Unemployment Benefits.
In tough times, such as the uncertainty surrounding the current novel coronavirus pandemic, we recognize that accessing the vast knowledge and resources of MSU is more important than ever. The MSU Extension Remote Learning and Resources online space can bring you the resources you need, wherever you need them.
Content areas include:
Adult Online Learning Resources
COVID-19 Pandemic and Tourism
Educational Resources for School Closures
Family and Community Resources
Health and Wellness Resources
Local Government Resources for Novel Coronavirus Response
MSU Extension’s Local Government Resources for Novel Coronavirus Response page is updated regularly with resources and webinars to help Michigan local governments navigate novel coronavirus pandemic. The page content is organized into:
Business Webinars for Busy Entrepreneurs
Answers to your specific questions.
Want to talk something through, one-on-one? Our business consultants are available to help you strategize for the future of your business.
Connect with an SBDC Consultant
Register today and pass the word!