According to the Michigan Retailers Association, one in five Michigan jobs are in the retail industry. Michigan residents sent $18.5 billion to out-of-state retailers in 2017. If only one in 10 out-of-state purchases were switched to local stores, Michigan would gain $1.2 billion in increased economic activity, creating 10,600 new jobs.
The Michigan Strategic Fund approved a $10 million grant program to help meet the urgent needs of small businesses disproportionately impacted by the COVID-19 virus, the Michigan Economic Development Corporation announced. The Pure Michigan Small Business Relief Initiative will utilize federal CARES Act funding to award grants of up to $15,000 to more than 650 small businesses across Michigan.
The Pure Michigan Small Business Relief Initiative is intended to meet the urgent need of Michigan businesses including restaurants and bars, lodging providers, live event venues and movie theaters, conference and meeting facilities, indoor recreation facilities and gyms and fitness centers. The grants under the program will support those businesses facing drastic reductions in cash flow and the continued support of their workforce and may be used for working capital to support payroll expenses, rent, mortgage payments or utility expenses.
The Pure Michigan Small Business Relief Initiative program will provide a total of $10 million to one or more qualified grant administrators, who will administer and allocate grants of up to $15,000 each to eligible businesses around the state. Funds will be awarded on a first-come, first-serve basis and the application window for small businesses will close once the targeted allocations within each of the state’s 10 prosperity regions are reasonably expected to be met.
To qualify for grant support, businesses must meet a number of criteria, including but not limited to:
Being a business in one of the targeted industries;
Identifying a need for payroll, rent or mortgage payments, and/or utility expenses necessary to continue or restart business operations;
Having at least two employees (including the owner) but fewer than 50;
Additional eligibility requirements can be found on Michiganbusiness.org/relief.
In addition, applicants will be required to self-certify that they are following all state and local orders related to COVID-19, including, but not limited to, those issued by DHHS and county health departments. For the full list of requirements, visit here: https://www.michigan.gov/coronavirus/0,9753,7-406-98178_98455-545136–,00.html.
MEDC is now accepting applications through 1 p.m. on Wednesday, December 2, for eligible nonprofit organizations interested in administering the grants. Interested organizations may submit their application at www.michiganbusiness.org/relief. The application period for small businesses seeking grants will begin on Tuesday, December 15.
These federal CARES Act dollars were distributed by the U.S. Department of Housing and Urban Development to the Michigan Community Development Block Grant program. A complete list of Pure Michigan Small Business Relief Initiative grant recipients will be posted to michiganbusiness.org/relief. MSF also approved up to $1 million to be used for administrative costs.
In further support of Michigan’s small businesses and their employees, MEDC’s new “Support Local” campaign launched last week, reminding Michiganders of the importance of supporting local businesses during the upcoming holidays and throughout the winter season. As efforts continue to combat the ongoing spread of the COVID-19 pandemic, the campaign is intended to inspire Michiganders to shop, eat and travel safely in their own neighborhoods and downtowns during the holiday season and beyond.
Visit www.michigan.org/supportlocal to learn more about statewide opportunities to support small businesses in Michigan.
In total, the MEDC has now launched 20 COVID-19 relief and recovery programs that have supported more than 18,500 businesses in the state and helped to retain nearly 147,000 jobs across all 83 counties. To learn more about MEDC’s COVID-19 response programs and the impact they are having on economic recovery efforts, visit michiganbusiness.org/covid19response. Other resources for economic reopening efforts as well as businesses across Michigan struggling with economic losses as a result of the COVID-19 virus can be found online at michiganbusiness.org/covid19.
