The Louisiana Mainstreet Recovery Grant is now available through the Louisiana Treasury.
Here is what you need to know:
The program started to accept applications on July 28th.
In the first 21 days, (up to August 18th) special treatment will be given to businesses that did not receive a Payroll Protection Program (PPP) loan, insurance payment, or Economic Injury Desaster Loan (EIDL).
Also, in the first 60 days (up to Sept. 26th), $40 million will be earmarked for businesses owned by women, minorities, or veterans. It appears that there is no end date for the program, as it will continue until all the funds have been expended. Also, after the application is received, you should know something within 20 days.
What is it?
The Louisiana Mainstreet Recovery Grant is available to Louisiana businesses for up to $15,000 to cover eligible expenses to cope with the additional expenses of complying with the new regulations and social distancing.
Where can you apply?
What are the qualifications?
- Were domiciled in Louisiana as of March 1, 2020.
- Suffered an interruption of business.
- At least 50% owned by one or more Louisiana residents.
- Filed Louisiana taxes in 2018 or 2019 or will file taxes in 2020.
- Had no more than 50 full-time employees as of March 1, 2020.
- Have customers or employees visit a physical location.
- Are not part of a bigger business with more than 50 full-time workers.
- Does not exist for the purpose of advancing partisan political activity and does not directly lobby federal or state officials.
- Does not derive income from passive investments without active participation in business operations.
What information is needed to apply?
- Federal taxpayer identification number.
- State taxpayer identification number.
- Louisiana Department of Revenue account number.
- Business legal name and authorized representative name, address, phone number and email address.
- Date of formation/creation.
- Business address, phone number, and email address.
- Industry category and business type.
What expenses are eligible for reimbursement?
- Costs related to meeting public health requirements tied to COVID-19, including, but not limited to:
- Creating social distancing
- Cleaning and disinfecting
- Purchasing equipment to protect employees and/or customers (hand sanitizer, masks, gloves, thermometers)
- Contactless equipment (credit card readers, etc.)
- Expenses to facilitate teleworking (laptops, printers, scanners)
- Necessary re-opening expenses (tents, outdoor tables)
- Signage pertaining to reopening or restructuring Installation of drive-through windows
- Business interruption costs related to COVID-19, including, but not limited to:
- Unemployment insurance costs
- Providing paid sick leave
- Inventory replacement (replacing spoiled food)
- Increased labor costs (hiring delivery drivers)
- Mortgage interest (for home office)
I hope this information was useful. If you know someone that could benefit from this information, please feel free to share it with them. As a matter of fact, give them my phone number, I would love to talk with them.
Till next time, stay safe!
John Estess, CPA