New MEDC Resources for Small Businesses
The Michigan Strategic Fund (MSF) Board approved $20 million in aid aimed at helping businesses affected by the closures ordered in response to the COVID-19 pandemic in a special virtual meeting today. Of the $20 million, $10 million is in loans and $10 million is in grants to help businesses affected by the COVID-19 pandemic, which was unanimously approved by the MSF board. MHSA is told that the application process will be handled by local EDO (Economic Development Organizations). A listing of those organizations can be found here.
According to the Michigan Economic Development Corporation (MEDC), it is expected this funding can help at least 1,100 businesses. Furthermore, the MEDC says that roughly 117,000 businesses have been impacted by Governor Gretchen Whitmer’s business closure, with collectively 539,000 Michiganders working at those businesses.
The $10 million in grants will be available in increments of up to $10,000 each for certain small businesses that have “realized a significant financial hardship” because of the coronavirus pandemic. The company must have 50 employees or less and must show it needs capital to support payroll expenses, rent, mortgage, utility expenses and other similar expenses.
In the $10 million loan program, the borrowers can access loans of $50,000 or more, but are capped at $200,000.
Please click here to access the MEDC page to view resources for businesses in Michigan. Also, please find attached a press release from the Michigan State Police regarding the MSF funding.
Posted March 19, 2020 in COVID19 | Entrepreneurial Resource News | Entrepreneurial Resource News | MEMBER NEWS | News