Microenterprise Assistance Application
CDBG-CV Microenterprise Assistance Program
PROGRAM OVERVIEW:
The Town of Saugus will be administering funds from the Community Development Block Grant COVID-19 (CDBG-CV) for microenterprise assistance. These special CDBG-CV funds were appropriated through the CARES Act of 2020 and are being awarded to Department of Housing and Community Development (DHCD) by the Department of Housing and Urban Development (HUD). CDBG-CV Microenterprise Assistance grant funding will support qualifying microenterprises adversely impacted by COVID-19.
APPLICATION SUBMISSION INSTRUCTIONS:
Your application must be filled out and submitted along with attachments as stated in “Required Documentation” electronically through Neighborly software. Only electronic submittals via Neighborly software will be accepted. If you need help completing your application please reach out to the Planning and Economic Development Department at 781-231-4045 or 781-231-4044. Hard copies or electronic copies submitted in any other way, such as mailed in or emailed, will not be considered.
PLEASE CLICK HERE TO ACCESS THE APPLICATION PORTAL
Please note: Clicking the above link takes to Neighborly Software, a partner of the Town of Saugus. Also, new applicants must first register for an account before signing in to the portal.
APPLICANT ELIGIBILITY:
· Business must have a physical establishment in Saugus.
· Business must be a microenterprise (a commercial enterprise that has 5 or fewer employees, 1 or more of whom owns the enterprise).
· Business owner(s) must qualify under the Low-Moderate Income (LMI) Limited Clientele national objective criteria. All owners of the business must earn an annual income equal to or less than 80% of the Area Median Income (AMI) based on family size.
· Business must be a for-profit entity (sole proprietorship, partnerships, corporations, or LLCs).
· Business must provide goods or services to multiple clients or customers.
· Business must be able to document a loss of income equal to or greater than requested assistance due to COVID-19.
· Business must be currently in operation and have been established prior to 01/01/2019.
· Business must be in good standing with the State and Town of Saugus:
o Business must be current on all taxes due through 3/1/2020; and
o Have active and valid state licenses/registrations, if applicable; and
o Not a party to litigation involving the Commonwealth or municipality you operate in.
· Ineligible businesses:
o Real estate rentals/sales businesses;
o Businesses owned by persons under age 18;
o Businesses that are chains;
o Liquor stores;
o Weapons/firearms dealers;
o Lobbyists; or
o Cannabis-related businesses.
AMOUNT OF FUNDING:
Up to $10,000 per business with demonstrated costs greater than or equal to the amount requested.
APPROVED USE OF FUNDS:
Microenterprise Assistance Program funds may be used for working capital to cover business costs, such as rent, staffing, and utilities, technical assistance, general support, and stabilization of the business.
NON-APPROVED USE OF FUNDS:
Microenterprise Assistance Program funds may not be used for major equipment purchases, purchase of real property, construction activities, business expansion, or lobbying.
AWARD PROCESS:
After the application period closes, the Town of Saugus will review all applications to determine eligibility. The completion of an application does not necessarily mean that a microenterprise meets the minimum eligibility criteria or that a grant will be awarded. The Town of Saugus will award and disburse grants based upon eligibility criteria and determinations made by the Town of Saugus.
REQUIRED DOCUMENTATION:
Please be prepared to provide the following for your application:
CDBG Self Certification Form (downloadable within the application)
A copy of complete 2019 Federal Personal Tax Returns for each business owner with a 20% or greater ownership interest in the business. If your tax return is on extension, 2018 will be accepted.
Auto Insurance (required if the business provides transportation services)
Business General Liability Insurance
A copy of your Certificate of Good Standing (If you need to request a Certificate of Good Standing, click here: https://www.mass.gov/how-to/request-a-certificate-of-good-standing-tax-c...
Business Income Tax Return (Form 1120) for the past 1 year if in business prior to 2019
Company’s Business Registration
Current lease agreement or mortgage bill to the property (must be a commercial lease/space)
Fictitious Name Registration (if applicable)
Past 3 Months Bank Statements for Business
COMPLIANCE WITH FEDERAL FUNDS, LAWS AND REGULATIONS:
Applicants must comply with all applicable laws.
OTHER QUESTIONS: CONTACT THE TOWN OF SAUGUS
Christopher Reilly, Director
Planning and Economic Development
creilly@saugus-ma.gov or 781-231-4044
Alexander Mello, Senior Planner
Planning and Economic Development
amello@saugus-ma.gov or 781-231-4045
Town Manager’s Office
781-231-4111