COVID-19 Commercial Rental Assistance Program Grant
As part of S.B. 3006, the COVID-19 Commercial Rental Assistance Program includes $40 million in commercial property rental assistance.
The Utah Governor’s Office of Economic Development (GOED) will administer the grants providing rental relief to Utah small businesses — including nonprofits, sole proprietors, independent contractors and those that are self-employed — that have lost revenue as a result of measures taken to minimize the public’s exposure to COVID-19.
To be eligible for the Commercial Rental Assistance Program, applicants must:
- Have a current lease on commercial property in the state of Utah
- Claim Utah as their principal place of business
- Be in operation with fewer than 100 employees on Feb. 15, 2020
- Demonstrate at least a 50% loss of gross monthly revenue after March 1, 2020, as a direct result of the COVID-19 pandemic
- Not received funds from the COVID-19 Agricultural Operations Grant Program (funded with federal CARES Act monies)
An applicant determined to meet eligibility requirements will receive an amount, not to exceed $10,000, between 25% and 100% of a single month of its business lease amount. The percentage is based on a formula that takes into account the company’s loss of gross revenue. The formula also considers whether the company received funds from the CARES Act Paycheck Protection Program (PPP) managed by the U.S. Small Business Administration.
Applications will be made available on May 11, 2020 at 9 a.m. at coronavirus.utah.gov
LEARN MORE
BUSINESS LOANS OF UTAH (BLU LOANS)
BLU loans can be used for debt consolidation, inventory purchase, accounts receivable, working capital, equipment, and real estate.
- Loan amounts: $50,000 – $350,000
- 8%-18% interest rate
- Up to 5-year term
- Collateral and guarantees required
- No prepayment penalties
BLU APPLICATION
UTAH LEADS TOGETHER SMALL BUSINESS BRIDGE LOAN PROGRAM
Beginning March 31, 2020, the Utah Governor’s Office of Economic Development is offering a bridge loan to Utah-based small businesses with 50 or fewer employees impacted by the COVID-19 pandemic. Loan amounts range from $5,000 to $20,000 with 0% interest for up to a 60-month period. Loan amounts shall not exceed three months of demonstrated operating expenses. Loan payments are deferred for 12 months. GOED will use up to 25% of the funding for rural Utah businesses.
The Utah Leads Together Small Business Bridge Loan program uses about $8 million in repurposed state economic development funds to provide gap funding to Utah’s small businesses. The Utah Department of Workforce Services has also contributed $500,000 to the bridge loan program.
CRITERIA
- Businesses must be established and licensed before January 1, 2020, and in good standing with the Utah Division of Corporations and Commercial Code (will be verified here).
- Applicants must have employees on their payroll for whom they have had payroll taxes withheld (i.e., W-2 employees).
- Applicants must provide six months proforma of estimated lost revenue or other documented loss evidence.
- No collateral requirements.
- Eligible loan uses include working capital to support payroll expenses, rent, mortgage payments, utility expenses, or other similar expenses that occur in the ordinary course of operations.
- Receiving other forms of emergency funding will not disqualify an applicant from receiving loan funds through this program. Still, companies must disclose if they have applied for emergency funding from other sources.
*UPDATE: The bridge loan round one, from March 31 to April 3, was for Utah headquartered for-profit businesses. These funding awards are currently under review. We plan to notify applicants on April 8 and anticipate checks will start to be mailed by the end of the week.
During round two, loan applications will be accepted from Utah for-profit and 501(c)3 nonprofit organizations, from April 13 at 8 a.m. to April 16 at noon (MDT).
Eligible, but unsuccessful round one completed applications are automatically considered for round two funding. Applicants determined to have insufficient documentation in round one can provide additional documentation to be considered eligible for round two. There’s no need to reapply. However, reviewing and adding supplemental information in the application portal is encouraged. Access to the application portal will be available from April 13 at 8 a.m. to April 16 at noon (MDT).
LEARN MORE
BANK & CREDIT UNION LOAN DEFERMENTS
Many local banks and credit unions are offering loan deferments for individuals impacted by COVID-19. Please contact your local financial institution for details regarding specific loan deferment programs.
DEPARTMENT OF WORKFORCE SERVICES
Administers unemployment insurance, job search assistance, Supplemental Nutrition Assistance Program, child care and Medicaid.
DWS COVID-19 WEBSITE
The department is providing two virtual Rapid Response Workshops daily Monday – Friday at 10:00 a.m. and 2 p.m. for impacted workers. The workshops will address: how to manage a layoff, budgeting, how to apply for unemployment insurance, job searching tools to find employment.
