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California small businesses can apply by Jan. 13 for COVID-19 relief grants of up to $25K

January 04, 2021 56715

Quick Summary:

Grants between $5,000 and $25,000 will be awarded with the grant amount based on a business’s annual revenue as documented in its most recent tax return. These state grants are not related to the federal Paycheck Protection Program, Economic Injury Disaster Loans and Provider Relief Fund.

Micro and small businesses in California that have been disproportionately impacted by the COVID-19 pandemic can apply for a grant of up to $25,000 through the California Small Business COVID-19 Relief Grant Program administered by California’s Office of the Small Business Advocate.

The application period for this first round of funding ends at 11:59 p.m. Wednesday, Jan. 13 (extended from the original Jan. 8 deadline). Details about the expected second round of funding are forthcoming.

CDA first announced the grant program to members on Dec. 3 as part of a package of state-provided tax relief and grants for small businesses impacted by COVID-19, but applications for the relief grant did not open until Dec. 30. The state grants are not related to the federal Paycheck Protection Program, Economic Injury Disaster Loans and Provider Relief Fund.

Grants between $5,000 and $25,000 will be awarded with funds to be disbursed by Lendistry ― the state-designated intermediary. The grant amount is based on a business’s annual revenue as documented in its most recent tax return. For example, businesses that make more than $100,000 and up to $1 million are eligible for a $15,000 grant.

According to the Dec. 30 news release from the governor’s office, the grant program will prioritize distribution based on the following key factors:

  • Geographic distribution based on COVID-19 health and safety restrictions following California’s Blueprint for a Safer Economy, county status and the new Regional Stay-at-Home Order.
  • Industry sectors most impacted by the pandemic.
  • Underserved small business groups served by the state-supported network of small business centers.

Apply online for the relief grant now or learn more about eligibility and documents businesses are required to provide when applying. Applicants can also access the business application guide, which provides tips for applying and more.

For information about the federal COVID-19 relief package, read the CDA article published Dec. 22.