By Meg Moss, Chamber of Commerce Executive Director
Business owners: are you struggling to recoup economic losses due to the pandemic? The North Carolina Department of Revenue has launched a 500 million dollar Business Recovery Grant Program. “The program will give one-time payments to eligible North Carolina businesses who have dealt with significant economic losses due to the COIVD-19 pandemic” according to Laura Brummett, staff writer for the Triangle Business Journal.
There are two types of grants available. A hospitality grant will be available to an eligible arts, entertainment, and recreation business, as well as an eligible accommodation or food service business such as a hotel, restaurant and bar. Hospitality grant requirements include, but are not limited to, having suffered an economic loss of at least twenty percent, as calculated using gross receipts reported on NC Sales and Use Tax Return and IRS Form 1065.
The second type of grant is a reimbursable grant that will be available to an eligible business not classified in the areas listed above, and that did not receive funding from other relief programs including the Paycheck Protection Program, COVID-19 Job Retention Grant, the Economic Injury Disaster Loan Advance, Restaurant Revitalization Funds or funds from the Shuttered Venue Operators Grant Program.
Businesses may receive a grant of up to twenty percent of their economic loss, but no more than $500,000.
The NCDOR website shares some insight from North Carolina Governor Roy Cooper, “Our economy is roaring back, but we know that some small businesses are still struggling from the impacts of the pandemic. These funds will help these businesses continue their recovery, create good paying jobs and help our economy.”
“Many businesses suffered financial setbacks during the pandemic,” said NCDOR Secretary Ronald Penny. “Our goal is to help them. We will work to get the grant funds distributed in an expeditious manner, which is the legislative intent.”
Brummett’s Triangle Business Journal article quotes Lynn Minges, president and CEO of the North Carolina Retail and Lodging Association. “North Carolina’s restaurants, hotels and bars saw over five billion dollars in losses due to no fault of their own,” said Minges. “These grants will be transformative to businesses across the state who have been devastated by the COVID-19 pandemic.”
The application period began December 16, 2021 and closes January 31, 2022. An eligible business may apply online at www.ncdor.gov.
Grant amounts will be determined at the conclusion of the application period. If funds are available for grants after the application period closes, the NCDOR will reopen the application period.