PROVIDENCE – More than 2,000 applications have been submitted within a week’s time for small-business grants from the $12.5 million in American Rescue Plan Act funding Gov. Daniel J. McKee announced on Jan. 31 as part of his R.I. Rebounds program.
The grant program provides $2,500 to $5,000 in direct relief funding for small businesses that have been impacted by COVID-19 and generate less than $1 million in gross receipts and sales. If 2,500 applicant businesses receive $5,000 in grants that would deplete the total funding available.
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Brian Hodge, spokesman for the agency, said, “We’re pleased with the response, and the interest level. We encourage small businesses to see if they’re eligible and apply before Tuesday’s [Feb. 15] deadline.”
“It is strictly for the state’s small businesses,” noted Hodge, “as large businesses are not eligible to apply.”
Hodge did not know if the current pace of submission is on pace to deplete the available grant funding.
“We still need to review applications for eligibility and grant the awards, some will be $2,500, and some will be $5,000,” he said. “If there are more than 2,500 applicants we can give more awards. But this tracks with approximately what we anticipated. Interested businesses should still apply.”
Hodge noted that the review of applications is just beginning. “All applications will be accepted until Feb. 15, at which point we will have a better understanding of the amount of eligible applicants and award size,” he said.
“We know small businesses are still feeling the impacts of the COVID crisis, and we hope these grants can provide some measure of help,” said Hodge, noting that there is technical assistance available to assist with the application process, including support from the R.I. Society of CPAs and translation assistance available in 10 languages.
Hodge said the funding approved by the legislature in January was aimed at assisting small businesses, especially the hard-hit tourism, hospitality and event industries impacted by the pandemic.
The General Assembly’s approval of McKee’s R.I. Rebounds Down Payment on Jan. 4 of $119 million from $1.1 billion in ARPA dollars includes funding for children and families, small businesses and investments for affordable housing.
The McKee administration said if the program was oversubscribed before the end of the initial application period, applications would be prioritized based on whether an applicant is one or more of the following: a first-time recipient of COVID-19 assistance from the state of Rhode Island, a very small business, and/or a minority or women business enterprise.
The small-business grant program deadline is Feb. 15 for eligible businesses that can apply via the R.I. Commerce Corp. website: commerceri.com/RIRebounds.
Cassius Shuman is a PBN staff writer. Contact him at Shuman@PBN.com. You may also follow him on Twitter @CassiusShuman.
