There is some good news for small businesses in Massachusetts as the Baker-Polito Administration announce a new $75 million grant program.
Massachusetts Small Businesses Entitles to $75 Million COVID Relief Fund
The new funds are part of the $4 billion American Rescue Plan and will support small businesses impacted by the Covid-19 pandemic. The new program will provide $50 million for businesses in underserved markets, including those owned by minorities, women and veterans.
Small Business Funding Opportunity
The remaining $25 million will go to businesses that did not previously qualify for Massachusetts Growth Capital Corporation (MGCC) aid. The first run of the MGCC saw it become the biggest state-sponsored business relief program in the United States. The program oversaw the distribution of over $700 million to around 15,000 small businesses across Massachusetts.
Now those businesses who missed out on the first round of funding have a second chance.
‘Challenges Remain’ for Many Businesses
Speaking at the Luanda Restaurant and Lounge in Brockton, Governor Charlie Baker spoke about the new program, saying: “We have been proud to support small businesses in every corner of the Commonwealth through the MGCC small business program during the pandemic, but we know that some challenges remain for many businesses. With the launch of this new effort, we can build on MGCC’s successful work and direct important federal funding to those businesses with the greatest need quickly and effectively.”
Lt. Governor Karyn Polito added: “Restaurants like Luanda are fundamental to the character of our neighborhoods, main streets and downtowns in every city and town in Massachusetts. This new initiative will ensure that businesses that need help the most will be able to take advantage of additional opportunities.”
Small Business Grant Details
Businesses eligible for grants from the $75 million fund will be those employing between two and 50 people.
$50 million will assigned to businesses that reach underserved markets and historically underrepresented groups. This includes minority-owned, women-owned and veteran-owned businesses, as well as those owned by individuals with disabilities or who are members of the LGBTQ+ community.
Businesses that did not qualify for previous MGCC grants because of a lack of revenue loss in 2020 are being assigned a $25 million share of the pot.
The grants will range between $10,000 and $75,000, and it can be used for employee and benefit costs, as well as for mortgage interest, rent, utilities and interest on debt.