Microenterprise Recovery Grant Program – United States

The grant is funded by Community Development Block Grant CARES Act (CDBG-CV) funding allocated to the City to prevent, prepare for, and respond to COVID-19.

Funding Information

• Grants of up to $5,000 will be awarded to eligible businesses, prioritizing businesses that have yet to receive assistance through any City, State or Federal program. Funds can be used for operating expenses, including but not limited to payroll, lease payments, insurance, and inventory.

Funding Criteria

Grant recipients will be selected based on the availability of funds, program guidelines, submission of all required information, and supporting documentation. If requests exceed the available funding, precedence will be given during the grant allocation process to qualified applicants who meet the following criteria:

• The business has not received any other financial assistance from federal, state, or local sources
• The business is located in a CDBG census tract
• Businesses with W-2 employees
• Businesses located in commercial “brick and mortar” locations
• The family income for the business owner is below 80% AMI prior to COVID-19, based on the previous year’s tax returns

Grant Eligibility

• To be eligible to apply for the Microenterprise Grant Program, a business must demonstrate the need for financial support due to the impact of the COVID-19 pandemic.
• The business must be a for-profit business located within Los Angeles city limits. Home-based businesses are eligible if the owner is a Los Angeles resident; however, priority will be given to businesses operating from commercial locations.
• Annual revenue cannot exceed $1 million.
• The business must have an active Business Tax Registration Certificate (BTRC) with the City of Los Angeles that is current and in good standing.
• The business has been legally operating in the City of Los Angeles on or before March 1, 2020.
• The business must have five (5) or fewer W2 employees on their payroll, including the owner(s).
• The business must demonstrate that the grant funds will be used for recovery from the COVID-19 pandemic.
• The business must disclose whether they have received funding from other federal, state, or local sources (including PPP and EIDL). Applicants who have received funding are still eligible, provided the funds are not currently being spent on the same expenses covered by the Microenterprise Grant.
• Applicant has not previously applied for this grant program, or been awarded a grant through this program.
• If applicable, the business must be in good standing with the Secretary of State.

For more information, visit Economic & Workforce Development Department.