At 10 a.m. today, the City of Los Angeles opened applications for its second round of “Comeback Checks” grants for small businesses recovering from COVID-19 setbacks. The program, for which the application window will close at midnight on Friday, December 3, will award $5,000 grants to 5,000 small businesses throughout the city.
According to the program website, eligible businesses must:
- Have experienced financial hardship as a result of COVID-19. These impacts must be documented, quantifiable, and clearly impacted by COVID-19.
- Be a private for-profit businesses including sole proprietorships.
- Be located and operating within the boundaries of the City of Los Angeles.
- Have been in operation since March 1, 2020.
- Have a City Business Tax Registration Certificate (BTRC) in good standing.(Corporations, limited liability companies and limited partnerships must also have an “ACTIVE” status with the California Secretary of State.)
According to the website, “grant winners will be chosen through a randomized lottery system,” but to better support the most vulnerable applicants, those located in low-to-moderate income census tracts (as defined by HUD), and those in “census tracts that are disproportionately burdened by, and vulnerable to, multiple Socioeconomic factors such as: poverty, pollution, unemployment, etc.” will be weighted more heavily in the lottery.
Three sizes of businesses may apply:
1. Microenterprises: small businesses with five (5) employees or less, including the owner(s), with less than $100 thousand in annual gross revenue
2. Small Businesses: businesses with less than $1 million in annual gross revenue
3. Small to Medium Businesses: businesses with yearly gross revenues between $1,000,000 and $5,000,000 in the most recent tax return
Businesses must submit recent tax returns to verify their status.
For more information, see the program’s Frequently Asked Questions, or fill out the eligibility form and online application at https://ewddlacity.com/index.php/recovery/comebackla#grants