On October 28th, Virginia governor Ralph Northam announced several key updates to the Rebuild VA Grant Fund, the state-wide economic relief program created in August to help local small business get through the pandemic.
Updates to the Rebuild VA Grant Fund include:
1. More businesses eligible
Round 1 of the Rebuild VA fund was designed for industries hit hardest by the pandemic – restaurants, retailers, personal care/grooming services, and entertainment businesses.
Eligibility is more relaxed under the new rules. Now it doesn’t matter what industry you’re in or what your business does. You just need to meet these basic criteria:
- Organized as a C-Corp, S-Corp, partnership, LLC, 501(c)(3), sole proprietor, or independent contractor. Click here for other eligible entities.
- Primary place of business must be in Virginia
- Must have less than 250 employees (not counting part-time), OR less than $10 million in annual gross revenue
- Must have been in operation before 3/12/20
- Be in good standing with the Virginia State Corporation Commission
- Not delinquent on Virginia state taxes (or have a payment plan in place if you are delinquent)
2. Can still apply even if you've already received PPP and/or EIDL money
Under the old rules you could not participate in the Rebuild VA Grant Fund if you already took money from the Paycheck Protection Program (PPP) and/or the Economic Injury Disaster Loan (EIDL).
Not anymore. You can now apply for Rebuild VA even if you received money from the PPP, EIDL, or any other CARES Act program.
3. More money available
$10,000 was the most you could get under the old rules. Now the most you can get is $100,000. Note, the grant is still based on 3x your average monthly expenses (i.e. salary & payroll, rent/mortgage, utilities, loan payments, etc.). That means you’ll receive the smaller of 3x your average expenses or $100,000.
Another new feature is that you can request reimbursement for COVID-related expenses incurred to create a safe environment for employees & customers and/or to respond to changes in how you do business. Some examples include:
- Equipment and capital assets installed to prevent the transmission of COVID. Think PPE, barriers, plexiglass shields, modified work stations, touch-free technology to encourage social distancing, etc. See the full list of covered reimbursement items.
- Expenses to comply with OSHA and Virginia Department of Health standards
- Developing or improving web-based platforms and/or alternative delivery methods as part of your long-term recovery plan
The above expenses are only eligible if they were paid on or after 3/24/20. However, you are NOT eligible for reimbursements if you already received aid from PPP, EIDL, or any other CARES Act program.
When Can I Apply?
ASAP! The state has earmarked an extra $30 million for this program. However, they will stop taking applications once that pot of money runs out or by December 31st (whichever comes first).
Visit the Rebuild VA Grant Fund to get started on your application today.
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