Friday, May 15, 2020

Some Local Businesses May Be Eligible for Ms Relief Funds

The Mississippi Legislature has  just approved a $300 million financial relief plan to create two
programs providing a direct payment to some businesses and a grant to others.

The "COVID-19 Small Business Relief Fund" ($60 million in total) will provide a $2,000 direct and automatic payment to small businesses with under 50 employees who filed tax returns in 2019 or 2018 and were required to close by State, County, or Municipal Executive Order. These small businesses - including some restaurants, hair stylists, salons, barbers, furniture stores, florists, sporting goods, clothing stores, office supplies, gift stores, etc. - that were registered with the MS Department of Revenue (DOR) before March 1, 2020, with an EIN number or SSN should receive the $2,000 direct payment.

The "Back to Business Mississippi Grant Fund" ($240 million total) is a relief grant program that will be administered by MDA. To be eligible, small businesses under 50 full-time employees that have filed a 2019 or 2018 tax return must be in good standing and formed before March 1, 2020. The amount of the grant will be a base amount of $1,500 plus the greater of 1) $500 per full-time equivalent employee or 2) the amount of itemized "eligible expenses" the applicant demonstrates in the sworn application. The grant cannot exceed $25,000.

For the first 60 days, $40 million from the grant program will be set aside for minority-owned businesses. For the first 21 days of the application period, only businesses which did not receive funds from the Paycheck Protection Program or Economic Injury Disaster Loan Emergency Advance, any other federal program, or compensation from business interruption insurance will be considered.

For more information on the bill, please see:

http://billstatus.ls.state.ms.us/.../SB/2700-2799/SB2772SG.pdf

If you have questions or need further assistance, contact the Winston County Economic Development Partnership at 662-773-8719.