Emergency Microenterprise Recovery Grant
About the program
The City of Toledo has established the Emergency Microenterprise Recovery Grant (“EMRG”) to aid in the economic recovery of microenterprises negatively impacted by the COVID-19 Emergency. Microenterprises, the smallest businesses in our city, contribute to the vitality of our neighborhoods, support families, create jobs and are essential to the economic health of Toledo.
EMRG is a grant program designed to assist for-profit microenterprises to maintain or restart operations and retain jobs by providing up to $5,000 for eligible operating expenses incurred between March 1, 2020 and June 30, 2020. Applicants will submit documentation for eligible operating expenses as defined below.
The EMRG program is funded with Federal Community Development Block Grant (“CDBG”) disaster relief funds. Therefore, grant funds are subject to federal requirements as incorporated throughout this document. EMRG is a one-time program that will terminate once grant funds are disbursed.
Priority will be given to businesses that have not received relief funding from the Small Business Administration. Due to the possibility of a high volume of applications and limited funding availability, the City may conduct a lottery to grant awards.
Grant funds will be disbursed by ACH direct deposit into a successful applicant’s business bank account unless the applicant requests payment by check.
A microenterprise is defined as a small-scale business with five or fewer employees, including the owner(s).
Eligible applicants meet all of the following criteria:
- Applicant meets at least one of the U.S. Department of Housing and Urban Development (HUD) eligibility requirements:
- Owns a business located in a low-to-moderate income census tract; OR
- Business owner’s household income does not exceed 80% of HUD area median income.
- Applicant owns a for-profit business located in the City of Toledo, with an active registration with the City of Toledo, Division of Taxation
- Applicant is 51%+ majority owner of the business
- Applicant is 18 years or older
- Applicant will provide an Employer Identification Number (EIN), and a Social Security Number (SSN). An EIN is not required for Sole Proprietorships.
- Applicant’s business has been in operation since January 1, 2020.
- Applicant’s business has no more than five full-time employees (including the owner) or their equivalent as of February 15, 2020.
- Applicant and applicant’s business are in good standing with governmental entities (i.e. current on income tax, property tax, utilities, code violations, fees)
Ineligible applicants include:
- 501(c)(3) organizations
- Social service agencies
- Religious institutions
- Lobbying organizations
- Applicant, and any owners thereof, who are employed by the City of Toledo
- Other ineligible businesses include payday loan businesses, liquor and tobacco stores, pawn shops, firearm or other weapons dealers, adult entertainment, passive real estate investments, or home-based businesses operating without appropriate zoning and/or permits.
ELIGIBLE OPERATING EXPENSES
Operating expenses incurred by businesses that are eligible for reimbursement are defined below:
- Purchases to restock inventory for resale
- Supplies needed to conduct business safely according to state and federal guidelines, including personal protective equipment.
- Professional cleaning services or cleaning supplies
- Commercial mortgage payment, unless delinquent prior to March 1, 2020
- Rent, except rent paid to an entity in which the applicant is an owner
ELIGIBLE EXPENSE DOCUMENTATION
EMRG will grant businesses up to $5,000 for eligible operating expenses paid or demonstrated to be due between March 1, 2020 and June 30, 2020. Applicants shall submit, via the Zoom Grant portal, paid receipts, or invoices due, for eligible expenses.
Low-to-Moderate Income Census Tracts