COVID-19 Small Business Relief Grant
Small Business Relief Grant Updates
Small Business Relief Grant Updates
In response to the COVID-19 pandemic and its economic impact on our community, the Municipality of Anchorage (MOA) has committed financial resources to help stabilize small businesses. Cook Inlet Lending Center (CILC) has administered some of those resources on the MOA’s behalf.
CILC’s first round of COVID-19 relief funding launched in May, after the MOA committed $1 million to support both small businesses and nonprofits. CILC opened a second round of funding after the MOA designated an additional $5 million dollars to provide financial relief for small businesses. Both application periods have closed, and applicants have been notified of the status of their application.
In early October, the Anchorage Assembly committed additional resources to support local businesses. Additional details are not available at this time. For the most up to date information, please visit the MOA’s website for COVID-19 Resources here.
Click below to see the list of awardees.
Small Business Grant Relief FAQ
Each recipient will receive a $10,000 grant.
No. So long as you use the money to pay for eligible operating expenses, you do not have to repay it.
Payroll, employee benefits, rent, utilities, taxes, and payments to vendors are all eligible expenses. Other operating expenses may be eligible but must be approved before the funds are used.
If the resources available are insufficient to fund all eligible applicants, then awards will be made by random selection.
Yes. Businesses that have received PPP, EIDL, or other Federal COVID-19 relief funding are eligible. Applicants with active pending PPP/EIDL applications are eligible. However, recipients may not use any portion of their MoA grant for expenses that were already paid by or attributed to another relief program.
Because this MoA grant program is funded through the CARES act, receiving an award through this program may make you ineligible for the AK CARES grant program. If you have an active application for the AK CARES Act and are contemplating applying for a $10,000 MoA grant, please evaluate which program better fits your businesses’ needs. You can find information about the AK CARES Grant here.
No, except that sole proprietorships that were limited to $5,000 grants during the Pilot Program will be eligible to receive an additional $5,000 ($10,000 total) if they continue to satisfy the eligibility criteria.
No. the Municipality of Anchorage has made a separate pot of funding available for nonprofits. Please see the MoA's website for updates.
Eligible small businesses are those that:
- had less than $1 million in gross revenue in 2019, and
- had no more than 20 total full-time or part-time employees at any one time in 2019.
Yes, sole proprietors are eligible to apply. There will be no limitations on how many sole proprietorships will be eligible for funding.
Yes, for sole proprietorships, single member LLCs and S-corporations, the business income must account for 75% of the owner’s individual income. This will be verified by tax returns. Note: spouse income is not included in this calculation, and CILC may request additional information to verify other forms of income.
Sole proprietors are considered employees of their business. The number of employees includes the business owner plus all other employees.
No, chains and franchises are not eligible.
Your business must have a location within the Municipality of Anchorage, including but not limited to the Anchorage Bowl, Eagle River, Chugiak, Birchwood, Peter’s Creek, Eklutna, Girdwood, Indian, and Bird. Your location may be an office, store, restaurant, or other physical location. Home-based and mobile businesses are eligible.
Businesses that opened and were in operation before March 2020 are eligible to apply; however, they will have to provide proof of business income in 2020.
Yes, seasonal and mobile businesses are eligible if they can show that they are either based in or do substantial business within the Municipality of Anchorage. This includes food trucks and businesses that operate a stand at one or more markets.
Yes. Any business legally restricted to patrons over age 18 or 21 is ineligible, including bars, liquor stores, marijuana dispensaries, smoke shops, and adult entertainment. Other ineligible businesses include payday lenders, pawn shops, unlicensed massage parlors, bingo halls, pull-tab businesses, and other businesses related to gambling, betting, or gaming.
No. If an individual owns a majority interest in more than one business, then only one of those businesses may receive an award. Each business where an individual owns a minority interest in multiple businesses will be ineligible.
Yes. Businesses must be able to show that they have been harmed by the COVID-19 pandemic in one or more of the following ways:
- full or partial closure due to government order;
- has had to lay-off, furlough, or not pay one or more employees;
- lost monthly revenue of 25% or more;
- likely to close without financial assistance
Yes. If you are selected to receive an award you will have to verify your eligibility by providing documentation such as tax returns, business licenses, and a signed statement affirming your eligibility. If you knowingly provide false information, you will be required to pay back any funds you receive, and you may be subject to criminal prosecution.
Schedule C income will be considered “gross income” for sole proprietors.
If your business is required to provide tax returns but has not yet prepared or filed a 2019 tax return, you will be required to submit a copy of your 2018 tax return and a 2019 profit and loss statement and balance sheet.
Sole proprietors may provide their Social Security Number or an Individual Tax Identification Number (ITIN).
Applications will be accepted until 6:00 p.m. on Saturday, September 12th, 2020.
Applicants will be contacted by email or phone, beginning Monday, September 21, 2020. Please note that our email software may go to your spam or promotions folders, so keep an eye on those inboxes as well.
Please provide a current telephone number and email address for a legally authorized representative of the business. You will be required to show that the representative is authorized to receive funding on behalf of the business before funds will be disbursed.
This is the second round of funding for small business relief. It is possible but not guaranteed that more funding will become available for emergency stabilization grants in the future.
Yes, you will be required to report grant funds as gross income when you file your 2020 taxes. For more information from the IRS click here.