Round 2 Of Seattle Small Business Stabilization Fund
The City of Seattle, through its Office of Economic Development (OED), has announced a second round of grants for the Seattle Small Business Stabilization Fund, allocating an additional $5.2 million to assist small businesses impacted by COVID-19. This more than doubles the amount that the City of Seattle invested into the first round of funding, discussed in detail in our previous blog post here.
To receive the second round of grants, small businesses must meet the following requirements:
- Geographic Location: Located within the Seattle City limits.
- Employee Maximum: Employ no more than twenty-five (25) full-time equivalent employees as of March of 2020.
- Annual Revenue: Not to exceed $2 million.
- Business License: Have a valid City of Seattle business license.
- Physical Location: Operate out of a physical location within the Seattle City limits (other than food trucks or creative industries), with no more than two locations.
- Time Requirement: Minimum of 12 months in business.
Businesses that are not for-profit, that are regulated as “adult entertainment”, or which have previously received a grant from the Small Business Stabilization Fund are excluded from receiving funding.
The OED will categorize eligible businesses based on whether they conduct business in high or low displacement areas, and whether they constitute micro or non-micro businesses. The OED will then select businesses by lottery, with 67% of investments going towards high-displacement areas and micro-businesses. Recipients may only use grant money for day-to-day operating expenses, such as payroll and rent.
Businesses may submit applications from October 12th through November 1st. The OED will not consider late applications. Application materials are generally subject to public disclosure, though some personal financial information may be withheld for privacy purposes. In addition, the OED will hold three webinars on how to submit applications on the following dates and times:
- October 7th at 12:00pm – 1:00pm
- October 14th at 12:00pm – 1:00pm
- October 21th at 12:00pm – 1:00pm
Registration for the webinars can be found here. This second round of funding is more generous than the first round, with more funds available, and less stringent requirements for small businesses. Small businesses who meet the requirements should ensure that they apply timely so as to not have their applications rejected, and should proactively monitor the City of Seattle, Office of Economic Development website here for further updates.
Our firm has counseled numerous businesses through the process of accessing available coronavirus relief loans and grants. If you have questions about whether this program is right for you, we would be pleased to assist you.