NYC Offering Grants for COVID-19 Affected Small Businesses

In an effort to assist small businesses in New York City that have been adversely impacted by the COVID-19 outbreak, the city has established the NYC Employee Retention Grant Program. This program is aimed at helping small businesses retain employees during a time of decreased business revenue. Small businesses that have experienced at least a 25% decrease in revenue due to COVID-19 can apply for a grant from the city to cover up to 40% of their payroll for two months (up to $27,000).

Who is Eligible?

For your small business to be eligible, it must:

• Be located within the five boroughs of New York City
• Have at least a 25% decrease in revenue directly attributable to the COVID-19 outbreak since Jan. 1, 2020
• Employ one to four employees in total across all business locations
• Have at least six months of business operation
• Not be a party to outstanding tax liens or legal judgments

Calculating Revenue Loss

To calculate the revenue loss as a result of COVID-19, the city will compare your business’ average revenue for two months in 2020 (after the COVID-19 impact) to both:

• Your average revenue for the same period in 2019, and
• Your average monthly revenue based on total 2019 revenue.

You may be eligible if either calculation indicates there has been at least a 25% decrease in your business revenue.

Supporting Documentation

To apply for this grant the city will need to verify your loss of revenue, the amount for which you are eligible, and will require you to provide an affidavit regarding your eligibility.

The documents you will need to upload as part of your grant application include:

• A signed Participation Affidavit verifying that you are eligible for the program and that you are applying in order to retain your employees
• Your bank account information
• Your most recent two months of payroll records
• Financial documents for two months in 2020 demonstrating revenue decrease due to COVID-19
• Financial documents showing your revenue for the same two months in 2019 (unless you were not in business at that time)
• Financial documents showing your revenue for the full 2019 calendar year

Supporting financial documents may include point-of-sales reports, bank statements, quarterly sales tax filings, 2019 tax returns, or CPA-certified profit & loss statements.

How to Apply

You can apply for the NYC Employee Retention Grant Program by following the three steps below:

1. Review the program guidelines and determine if your business is eligible.
2. Gather the appropriate supporting documents.
3. Visit the SBS Connect website and log in to your account to begin your application.