LANSING, Mich (WLNS) – The Michigan Strategic Fund today approved a $100 million program that will provide grants to small businesses around Michigan working to recover from the ongoing impacts of the COVID-19 virus.
“The COVID-19 virus has especially impacted Michigan’s food and agriculture sector. This investment will provide critical resources to ensure the safety of Michigan’s food production industry and its workforce,” said Governor Gretchen Whitmer.
The State of Michigan has appropriated $100 million of federal CARES Act funding through SB 690, signed into law by Governor Whitmer last week, to implement the Michigan Small Business Restart Program to support Michigan’s small businesses that are reopening and have experienced a loss of income as a result of the COVID-19 crisis.
The Michigan Strategic Fund today authorized distribution of the funding across 15 local or nonprofit economic development organizations covering all 83 counties in the state to providing a base amount of $3.5 million per EDO for grants up to $20,000 each to support certain small businesses that have realized a significant financial hardship as a result of the COVID-19 virus. Participating EDOs are as follows:
- Lansing Area Economic Partnership – $5,545,455
- InvestUP – $4,545,455
- Networks Northwest – $4,545,455
- Otsego County Economic Alliance – $3,500,000
- Target Alpena – $3,500,000
- The Right Place – $9,545,455
- Lakeshore Advantage – $3,500,000
- Middle Michigan Development Corporation – $3,500,000
- Saginaw Future – $3,545,455
- Flint & Genesee Chamber – $8,045,455
- Southwest Michigan First – $7,545,455
- Ann Arbor Spark – $8,545,455
- Oakland County – $11,045,455
- Macomb County – $7,545,455
- Detroit Economic Growth Corporation – $15,545,450
Applications for the Michigan Small Business Restart Program application will be live starting Wednesday, July 15 at michiganbusiness.org/restart and run through Wednesday, August 5.
Money can be used as working capital to support payroll expenses, rent, mortgage payments, utility expenses or other similar expenses.
To qualify for grant support, businesses must meet certain guidelines:
- Is a business or nonprofit that can demonstrate it is affected by the COVID-19 emergency
- Needs working capital to support eligible expenses
- Demonstrates an income loss as result of the COVID-19 emergency
- Has not received a grant through the Michigan Strategic Fund’s Michigan Small Business Relief Program. Businesses who have received support through other COVID-19 relief programs, including the Michigan Small Business Relief Program loans, are eligible to apply for Restart grants.
Additionally, at least 30 percent of the funds awarded under the program must be provided to women-owned, minority-owned or veteran-owned eligible businesses.
The MEDC anticipates that more than 5,000 businesses across the state will benefit from this program.