South Dakota is providing grants of up to $100,000 to certain qualifying small businesses and small nonprofit businesses. The time period to apply begins October 13, 2020 and closes on October 23, 2020.
The availability of the grants and the qualifications required to receive the funds may change as the grant programs are implemented. This is only a summary of the programs as described in the resolution passed by the South Dakota Legislature to establish the grant programs. Every situation is different. Please consult with counsel to determine how these grant programs may impact you.
To be eligible for the grant, the small business or small nonprofit business must be located in South Dakota, have experienced at least a 25% reduction in business, have gross revenues not exceeding $38.5 million, and be willing to certify to a going concern statement.
Grants are also available for small business start-ups. These grants of up to $100,000 are available to certain businesses that are located in South Dakota, are open and operating, and first registered with the state between September 1, 2019 and June 1, 2020. To be eligible for a small business start-up grant, the business must have either (1) operated at a net loss in three of the six months between March 1, 2020 and August 31, 2020 or (2) demonstrate that the average monthly income between March 1, 2020 and August 31, 2020 was less than 120% of the average monthly income prior to March 1, 2020.
Applications for the grants are available at this website: https://covid.sd.gov/smallbusiness-healthcare-grants.aspx
Lisa K. Cagle has provided the summary above. This information is being provided for your review and consideration. If you have any questions or would like additional information, please don’t hesitate to contact any of the attorneys at GPNA. As more developments take place, we will post updates.
Lisa K. Cagle
Lisa K. Cagle is an associate attorney with Gunderson, Palmer, Nelson & Ashmore, LLP in Rapid City, South Dakota. Lisa focuses her practice primarily on business and estate planning, real estate law, and employment law. Prior to practicing law, she worked as a teacher for eight years.