Gloucester Twp. Offers Up To $5K For Small Businesses Amid COVID

GLOUCESTER TOWNSHIP, NJ — Gloucester Township has allocated $425,000 of the $493,426 in Community Block Development Grants it received through the federal CARES Act for a Small Business Assistance Program, township officials announced.

“We are excited to announce a new small business assistance program available to Gloucester Township businesses to relieve them of some of the burden brought on to them by the current health crisis,” Gloucester Township Mayor David Mayer said. “The Covid-19 Small Business Assistance program will offer extra funding to our hard-working small businesses that are so very fundamental to our community. I am thrilled to introduce this new initiative and let our local small business owners know that Gloucester Township is committed to supporting them and their operations.”

The program is for small businesses that have been negatively impacted by the coronavirus pandemic. It makes up to $5,000 available for these businesses for up to 120 days.

Gloucester Township stores, restaurants, entertainment, and nonprofessional service businesses with no more than the equivalent of 10 full-time employees that were in business as of Dec. 31, 2019, are eligible to participate.

The business must have one employee, including the business owner, who will be retained and meets the low/moderate income requirement; or it may be located in an eligible program area.
The business must also be committed to opening or reopening and retain or re-employ at least one permanent job.

Anyone deemed eligible to participate by the federal Department of Urban and Housing Development (HUD) must enter into a financial assistance agreement, referred to as the “Participation Agreement,” on terms that it reaches with the township.

Once they qualify, businesses may use the funding for working capital expenses. This includes payroll, rent/mortgage, utilities such as Internet or electricity, advertising/marketing, insurance and/or cost to comply with the state and any local social distancing policies.

Specifically excluded from eligible expenses are public utility payments and taxes, unless they are in escrow and included in a regular mortgage payment.

The following requirements apply to all applications:

• The Business must be located within Gloucester Township.
• The grant funds may be used to pay eligible expenses for a 120-day period.
• Applicant must provide list of expenses to be paid with grant application and backup documentation.
• All grants must meet the CDBG National Objective of Low/Mod Income Benefit for the participating business. The business must document that it will retain at least one permanent job held by a low- and moderate-income person and that the jobs would be lost without the CDBG assistance. The business must document the income of the low- and moderate-income person through a certification by the business owner that the job is held by a low-moderate income person (based on a one-person household) or the business can presume that the job is held by a low- and moderate-income person if 1) the employee resides in a qualified low-income area or 2) the business is located in a qualified low-income area. Applicant must provide list of employees and their salaries.
• Applicant must certify that they will remain open or reopen if grant funds are received. If the applicant does not remain open or reopen, the grant funds must be returned.
• Applicant will be required to complete a grant application and sign a Participation Grant agreement.
• Funds are available to all eligible businesses meeting program requirements until all funds are distributed. The Township reserves the right to reject applications that it deems do not meet the criteria of the program.

The Grant Application must be completed by the business, and they must complete the Budget Application.

The business must provide a summary of their present situation. This should include a brief description of the business, e.g., type of firm, its product or service, and how long they have been in business.

They must also describe how the funds will be used and reasons why they are needed for the business to be in a position to retain jobs.

They must explain how the coronavirus has adversely impacted business revenue, and identify their specific needs.

They must provide a list of all employees as of January 1, 2020, employees hired since then, and their status. Business Certifications must be signed by the business’s authorized signatory.

For more information and a pre-application form, visit glotwp.com.