New applicants who meet eligibility criteria can apply Wednesday, April 28, through Thursday, May 4, for round 6 of the California Small Business COVID-19 Relief Grant Program. Round 6 is also open to small businesses and nonprofits that applied during any previous round (1-5) but were not selected. Eligible waitlisted applicants do not need to reapply; instead, they will move automatically into round 6 for consideration.
Businesses that are impacted by COVID-19 and pandemic-related health and safety restrictions are eligible for grants of between $5,000 and $25,000 if they have been in business since June 1, 2019, and are open currently or have a plan to reopen. The business’s annual gross revenue during the 2019 tax year determines the grant award. For example, businesses with annual gross revenue between $1,000 and $100,000 are eligible to receive a $5,000 grant.
California’s Office of the Small Business Advocate administers the program, which received an additional $2.1 billion through the state-funded COVID-19 relief package Gov. Gavin Newsom signed in late February. CalOSBA in early March announced four new rounds of funding for the program, with rounds 5 and 6 open to eligible first-time applicants, as CDA previously reported. Rounds 1 and 2 were funded through the state package signed last December.
Lendistry, the state-designated intermediary, reviews applications to determine eligibility and consults with CalOSBA to award grants that prioritize several factors, including geographic distribution based on COVID-19 health and safety restrictions.
Businesses can use the grant funds to cover costs they incurred due to pandemic-related health and safety restrictions, including business interruptions. Eligible use includes, but is not limited to:
CalOSBA last month released preliminary data for rounds 1 and 2 that show selected applicants by industry and demographics. Small businesses or nonprofits in all 58 California counties were selected to receive a grant with 64.8% of grants going to applicants located in low- to moderate-income communities, for example.
Apply April 28-May 4 for round 6 of the relief grant and read the all-business application guide for application tips, FAQ and details about eligibility, application certification and more.