To help small businesses through the impact of COVID-19, the Cities of Clear Lake and Mason City, Cerro Gordo County, and the North Iowa Corridor EDC have launched the Small Business Recovery & Continuity Fund for companies in Cerro Gordo County. Businesses who have experienced business disruption and revenue losses will be eligible for grants up to $5,000 to help ensure business continuity. This assistance will provide businesses with immediate, short-term cash flow that can be deployed for a variety of uses; including working capital, inventory, lease/mortgage payments, etc. The goal of the program is to assist as many eligible businesses in maintaining operations or reopening after the pandemic to limit the negative economic impact as much as possible.
North Iowa Small Business Recovery & Continuity Fund Recipients
The grants awarded through the program range from $1,000-$5,000. In this review period, applicants that received IEDA Small Business Grant Funding at the time of final decisions were set aside to ensure funds could be targeted to those that had not received assistance yet. Review criteria included but was not limited to; negative financial impacts on the business, expenses/need, and longevity/impact in the community.
The program began with a total of $518,000 available to allocate. The Corridor will continue to evaluate conditions to determine how to best meet business needs in the weeks ahead. Applicants that did not receive funding this round will be given priority, followed by those that submitted pre-applications. New applications are not being accepted at this time.
As of May 11, 2020, 56 businesses in Cerro Gordo County have received a total of $1,110,989 from the IEDA program. That fund continues to make new awards weekly, and they are working to be able to fund many of the remaining backlog of applications as federal funds help to replenish it. In addition, local banks have helped businesses bring in significant federal funds through the Paycheck Protection Program.
Businesses and individuals interested in supporting this initiative can make a?tax-deductible donation through United Way of North Central Iowa to help increase the impact for more of our businesses as new needs develop. The Corridor also encourages shopping local and buying gift cards to support your favorite businesses as much as possible.
Other Corridor loan funds available:
Recovery & Continuity Fund Details
Who Is Eligible
- Businesses with a physical location and employees within Cerro Gordo County (priority to those in operation at least 1 year)
- Businesses negatively impacted by the COVID-19 virus
- Priority given to locally owned independent businesses under 25 employees
- Priority given to businesses/sectors ordered closed by the Governor
Requirements of Grantees
- Business Counseling with NIACC Pappajohn Center & SBDC for financial and business continuity planning (initial consultation meeting, ongoing webinars/trainings, etc.)
- Utilize funds to make reasonable best efforts to maintain employment and operation
How to Apply
Pre-Applications to confirm eligibility will be available beginning April 8. A full application will be provided to those meeting the criteria. The review committee will work diligently to review and respond to applications as received weekly in order to get the funds to the most impacted businesses immediately, while ensuring due diligence to make fair and informed decisions. Applications will likely exceed available funding, so determination will be made on demonstration of financial need, extent of impact, and employees directly affected. Criteria may include, but is not limited to: business classification, business type, demonstration of financial need, impact to revenue, and other applicable information.
Application Review Process:
- Pre-Applications open April 8, full-app provided to all eligible
- Full Application due April 24
- Applications ranked by business impact level and need based on committee review
- Awards granted weekly to meet immediate needs until funds are expended
- Award amount determined by the level of impact, including loss in sales revenue, employees, and immediate financial need
- Awards may be less than requested to ensure funds are available to help the most businesses possible
- A completed application is not a guarantee of financial assistance
Documents Required for Application (all items strictly confidential):
- Most recent 3-month income
- Revenues – March 2019 compared to Revenues – March 2020
- Balance Sheet (as of application date)
- Payroll prior to March 17, 2020
- Federal Tax ID#
- Additional fields may include:
- Date of business establishment
- Description of Economic Impact Loss (loss of sales, revenue, employees, etc.)
- Number of employees on March 1
- Number of employees working remotely as a result of the disaster
- Estimated loss of revenues March 15, 2020 – April 15, 2020, projected losses moving forward
- Description of how funds will be utilized to maintain operations or reopen after the disaster
Please contact the North Iowa Corridor at firstname.lastname@example.org with questions. Please provide your specific questions and contact information within your email; the Corridor will respond to questions as quickly as possible.