The Iowa Economic Development Authority (IEDA) recently announced small businesses have been awarded a total of $24 million in grants through the Iowa Small Business Relief Grant program. Several small local area businesses were included as recipients, including:
Dugout Bar, LLC-$6,000
Elm Street Grill-$23,000
The Sanctuary Restaurant-$18,950
Garrison Coffee House-$25,000
Howard Clothing and Sporting Goods-$25,000
C & H Thornton Enterprises-$16,000
Harbor Café and Marketplace-$8,000
Keg Creek Brewing Co.-$25,000
Lakeside Wholesale Florist-$12,500
Scanlan Portfolio, Inc.-$25,000
The Buck Snort LLC-$25,000
1041 Ruby LLC-$11,765
Pudgy Pumpkin Patch Gift Shop-$17,361
Governor Kim Reynolds launched the Iowa Small Business Relief Program to provide financial assistance to small businesses (with 2-25 employees) that have been economically impacted by the COVID-19 pandemic. The program offered eligible small businesses grants ranging from $5,000-$25,000, in addition to offering Iowa businesses a deferral of sales and use or withholding taxes due and waiver of penalty and interest. The application window for the program closed March 31.
The assistance provided through the Iowa Small Business Relief program was intended to provide businesses with immediate, short-term cash flow assistance for the next 30 days.
Nearly 14,000 businesses applied through the program, requesting a total of more than $148 million in eligible assistance, and award notifications were made the week of April 7.
At this time all available funds have been expended. If additional funding becomes available, additional awards will be made from the current pool of applicants. IEDA will not open a new round of applications.
Every application received was triaged for eligibility and economic need. The triage screening included an assessment of each applicant’s projected revenue loss for the period of March 15 to April 15 as supported by the applicant’s financial documentation. For the first round of funding (April 7-10), priority was given to businesses demonstrating projected revenue losses of 75% or greater and businesses that were among the first to close due to the public health emergency.
Businesses were required to submit a description of economic injury and workforce impact, estimate of revenue loss from March 15 to April 15, 3-month income statement, revenues for March 2019 and March 2020 to date of application and balance sheet and payroll information. Business applicants were also required to answer questions about civil or criminal court history or allegations, bankruptcies, potential violations of public health, safety or environmental laws, and whether the business is in good standing with the Iowa Department of Revenue. Businesses offering adult entertainment were considered ineligible for assistance.
The Iowa Department of Revenue continues to take applications for sales and withholding tax deferral as part of the Iowa Small Business Relief Program. The relief is available to employers and businesses of all sizes impacted by COVID-19 at https://tax.iowa.gov/COVID-19. The application period for tax deferral will remain open through April 30. To learn more, visit Iowa Department of Revenue.
Expanded federal benefits, including small business loans, grant and expanded unemployment benefits are now available to small businesses, cooperatives, ESOPs, Tribal businesses, nonprofits, sole proprietors and independent contractors.
More information about the grant awards is available at iowabusinessrecovery.com.