New York City has launched an initiative to assist small businesses with zero-interest loans and direct-cash grants in response to the COVID-19 outbreak.
The program is designed to provide financial relief to small businesses suffering from reduced revenue due to coronavirus.
Businesses with fewer than 100 employees and that have seen sales decreases of 25% or more are eligible for zero-interest loans of up to $75,000. To help retain staff, small businesses with fewer than five employees are eligible to apply for a grant that covers 40% of payroll costs for two months. The initiative should begin as early as next week.
“We’re really trying to help cash-positive businesses who are suffering specifically due to this,” Samantha Keitt of NYC Small Business Services told Crain’s New York. “We just want to make sure that all of our T’s are crossed [so that] people don’t fall through the cracks because we rushed to get the program finished.”
Applicants must be able to demonstrate revenue decreases by providing documentation such as point-of-sales reports, bank statements, quarterly tax filings, 2019 tax returns or CPA-certified profit-loss statements.
To learn more, visit the NYC Small Business Services’ Assistance and Guidance page.
UPDATE, Wednesday, March 18: The application is live for the grant program. We’ll keep you updated on the status of the loan program’s activation.
UPDATE, Monday, March 23: The pre-application for the Small Business Continuity Loan Fund is live.