Governor Reynolds Announces COVID-19 Iowa Small Business Relief Program
posted on Tuesday, March 24, 2020 in Economic Development
Information from Iowa Governor Kim Reynolds Press Relesae and The Courier
Governor Reynolds announced Monday, March 23, the launch of a new Iowa Small Business Relief Program that will provide financial assistance to small businesses that have been economically impacted by the COVID-19 pandemic. Iowa officials are making $4 million in state assistance available to adversely impacted small businesses, especially those in “consumer-facing” industries, as a stopgap measure for up to 30 days until more federal aid is approved to help deal with the expanding COVID-19 epidemic. The program offers 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.
“Small businesses are the source of thriving main streets and community pride across Iowa,” said Gov. Reynolds. “The Small Business Relief Grant Program is another way we can support our small businesses during this unprecedented time. I fully understand that this doesn’t make up for having your businesses close for a period of time or your customers staying home but it is our hope that we can help businesses weather this storm.”
To be eligible for a small business relief grant, eligible businesses must:
- Be experiencing business disruption due to the COVID-19 pandemic
- Have employed between 2-25 people prior to March 17, 2020
The Small Business Relief Grants will assist eligible businesses in maintaining operations or reopening business following the COVID-19 pandemic. The funds may not be used to pay debts incurred prior to March 17, 2020.
In addition, officials with the Iowa Department of Revenue said they will review each application as applicable, to determine if it is appropriate to grant a deferral of the eligible taxes and waiver of penalty and interest. The dual application for grant assistance and tax deferral is available at iowabusinessrecovery.com, with a deadline to apply set for noon March 31. View additional information and FAQ.