COVID-19 resiliency Program

The Granite Falls Economic Development Authority (GFEDA) is teaming up with the Granite Falls Area Community Foundation to launch the COVID-19 Resiliency Program, which is prepared to provide micro-funding to eligible local businesses within the City of Granite Falls who are being impacted by the COVID-19 crisis.

The Community Foundation has pledged that its funds be utilized as a grant. A grant is a forgivable funding tool intended to provide assistance, stimulate the economy, and benefit the public. The GFEDA has pledged to offer a low-interest loan to grant recipients who choose to utilize this financial tool.

Grants and loans may be used to pay fixed debts, payroll or accounts payable, or cover other bills that can’t be paid due to the pandemic.

Eleven grants were awarded in June 2020 thanks to this partnership.

Eligibility

Be a for-profit, locally-owned business.
Demonstrate a negative impact from the COVID-19 pandemic.
Demonstrate positive cash flow prior to the pandemic.
The business has an established physical address within the Granite Falls area.
The business is current on their city and county property taxes.

Be a for-profit, locally-owned business.
Demonstrate a negative impact from the COVID-19 pandemic.
Demonstrate positive cash flow prior to the pandemic.
The business has an established physical address within the City of Granite Falls.
The business is current on their city and county property taxes.
The business is current with city electric and water bill.

The COVID-19 Resiliency Program, offers small, but favorable, /grants loans and is not intended to fully replace lost revenue or cover all operating costs for the duration of the situation. It is intended to provide some breathing room and/or help businesses invest in measures to adjust operations.

Submitting an application does not guarantee or promise you will be awarded.

Required Documentation

Complete Loan Application.
Prove of paid taxes.
Prove of paid City electric and water bills. N/A if you are only applying for the grant.
Schedule C 2019 or 2018, or Tax Returns
Business Financial Statement (balance sheet, income statement, cash flow).
Official letter from your financial institution demonstrating a positive balance for 3 months.

Award and Disbursement Process

Applications may be submitted beginning on Monday, May 4, 2020 and concluding at 11:59 p.m. Saturday, May 16, 2020. Submit to eda@granitefalls.com

All applications will be reviewed.
The amount awarded will be determined by number of application received, and eligibility.
Submitting an application does not guarantee or promise you will be awarded.

GFEDA Loan Terms

Loan amounts will be small, but based on the businesses needs
GFEDA loans are deferred until November 1, 2020.
GFEDA loans are set at one-percent (1.0%) until maturity.
Loans are fully amortized over a total term of up to (24 months is $126.31/mo) or (36 months is $84.62/mo).
Loans can be repaid early at any time with no penalties.
These loans can be combined with other local/state/federal relief programs. Preference will be given to those business who do not qualify for those programs, or were denied due to lack of funds from those programs.
Personal guaranty requested, please inquire if personal guaranty is not feasible.
No application fee.

Additional funding sources

Businesses can also apply for a variety of assistance at local, regional and federal levels, including:

The CARES Act Paycheck Protection Program (PPP), which provides small businesses with up to $10 million to cover eight weeks of payroll costs (including benefits), rent and utilities. Loans can be mostly or completely forgiven if 75% or more of the funds goes towards payroll, including hiring back employees.
Economic Injury Disaster Loans (EIDL), provide low interest loans of up to $2 million for capital expenses like fixed debt and payroll costs, with an emergency forgivable advance of up to $10,000 available upon request when you apply.
Southwest Regional Development Commission (SRDC)
Southwest Initiative Foundation (SWIF)

All applicants are encouraged to apply for available federal assistance before applying to the COVID-19 Resiliency Program. Every applicant will be assisted to seek federal assistance (if available) but obtaining federal assistance is not a condition to participate in this program. Applicants that are declined, cannot obtain, or those for whom financial assistance may take too long or will not be enough, are still eligible under this program.