Governor Kim Reynolds announced on Monday, March 23, 2020, the launch of a new Iowa Small Business Relief Program that will provide financial assistance to small businesses that have been economically impacted by the COVID-19 pandemic.
The program offers eligible small businesses grants ranging from $5,000-$25,000, in addition to offering Iowa businesses a deferral of sales and use or withholding taxes due and waiver of penalty and interest.
"We are pleased that the State has responded so quickly, and look forward to helping businesses access this and other assistance as it becomes available," Wendy Ford, the City's Economic Development Coordinator, said.
Visit Iowa Economic Development's website to learn how to apply: IowaEconomicDevelopment.com.
The application deadline is noon Tuesday, March 31, 2020.
To be eligible for a small business relief grant, eligible businesses must:
- Be experiencing business disruption due to the COVID-19 pandemic
- Have employed between 2-25 people prior to March 17, 2020
The Small Business Relief Grants will assist eligible businesses in maintaining operations or reopening business following the COVID-19 pandemic. The funds may not be used to pay debts incurred prior to March 17, 2020.
The Iowa Economic Development Authority will review grant applications for eligibility and will determine the grant amount by the level of impact including loss in sales revenue and employees. Notification of award decisions and disbursement of grant funds will be expedited.
The Iowa Department of Revenue will review each application as applicable, to determine if it is appropriate to grant a deferral of the eligible taxes and waiver of penalty and interest.
The program may be restricted due to funding availability.
For all Iowa City COVID-19 news, including a list of additional economic resources for businesses and individuals, visit our webpage at icgov.org/Coronavirus.