State Business Interruption Grants program opens June 22nd!
State Senator Jacqueline Collins
Published: June 17, 2020
DCEO will make the application for BIG available on Monday, June 22nd
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Governor enacts program to help closed, damaged business properties, State Senator Collins urges owners to apply!
CHICAGO – Following Gov. JB Pritzker’s announcement today that his administration will launch a $636 million Business Interruption Grants program, State Senator Jacqueline Collins (D-Chicago) urged local business owners to apply.
“I applaud the governor’s action today, and am gratified to see that one large part of it will be aimed at businesses in disproportionately impacted areas with recent significant property damage,” Collins said. “This shows an understanding of what business owners in these areas are going through and what help they need to stay afloat in light of the once-in-a-lifetime hardship they now face.”
The Illinois Dept. of Commerce and Economic Opportunity will launch a first round of $60 million BIG grant funding for small businesses harmed by the pandemic, many of whom have also seen damage as a result of recent civil unrest. The funds are intended to help small businesses stay viable through the pandemic, help offset the costs of months of being shut down or restricted in their operations, and ensure they have the resources to reopen safely in the near future.
Among other specific programs, DCEO plans to disburse $20 million across 1,000 grants of $20,000 each to businesses in disproportionately impacted area with recent significant property damage. Those who qualify for these grants include:
* Businesses with under $2 million in revenue in 2019, or pro-rated amount if in business for less than a year. Such business must have in operation for at least three months prior to March 2020.
* Applicants who can attest to experiencing costs or losses of at least $20,000 since the Stay at Home order was put in place on March 21, 2020 due to closure or reduced operations as a result of the COVID pandemic.
* Businesses within a subset of DIAs that have experienced recent property damage, exacerbating the economic impacts of COVID.
DCEO and its grant administration partners are scheduled to post applications this week for review and questions, with applications being accepted June 24 through July 1.
Applicants who are selected for the grants should hear from grant administration partners by early July, and grants are scheduled to be disbursed by the end of July.
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Business Interruption Grants Program (BIG)
The Department of Commerce and Economic Opportunity (DCEO) will launch the first round of Business Interruption Grants (BIG) by providing $60 million to businesses experiencing losses or business interruption as a result of COVID-19 related closures. The BIG Program is available for up to 3,500 businesses that experienced a limited ability to operate due to COVID-19 related closures. DCEO will begin distributing funds to qualifying businesses in early July. The total program funding will amount to at least $540 million in grants for small businesses, $270 of which has been set aside for childcare providers and is funded by the CARES Act.
In the first wave of grants, priority will be given to small businesses that have been heavily restricted or completely shut down during the pandemic and are located in DIAs. Businesses eligible for the program must have experienced extreme hardship, demonstrated by eligible costs or losses in excess of the grant amount, since March and may continue to face depressed revenues or closure. Businesses must also have been in operation for at least three months prior to March 2020. An emphasis will also be placed on those businesses that are located in areas that have experienced recent property damage due to civil unrest, exacerbating the economic impacts of COVID-19.
Specifically, the program includes support for:
- Businesses in DIAs - $20 million for businesses that are located in a subset of DIAs that have recently experienced significant property damage, providing 1,000 grants of $20,000 each
- Bars and Restaurants - $20 million for bars and restaurants unable to offer outside service, providing 1,000 grants of up to $20,000
- Barbershops and Salons - $10 million for barbershops and salons, providing 1,000 grants of $10,000 each
- Gyms and Fitness Centers - $10 million for gyms and fitness centers that have lost significant revenue due to COVID-19, providing 500 grants of $20,000
WHEN TO APPLY: DCEO will make the application for BIG available on Monday, June 22nd.