NEW BRAUNFELS, Texas — More Texans are getting back to work as phase three of the Governor’s reopening plan continues.
However, many businesses are still treading water.
The City of New Braunfels is throwing a life raft to its small businesses with a recovery grant program.
The coronavirus crisis hit at the beginning of tourist season in New Braunfels. The city and surrounding area is home to more than 6,000 small businesses. Right now, many of them are struggling. The city is stepping up and ready to hand over some cash.
“When the city began to contemplate how can it begin to respond to pandemic, there's a public health response but then there's also the economic and the recovery response,” said Jeff Jewell, the Director of Economic and Community Development for the City of New Braunfels.
The city put together a committee focused on a recovery roadmap. They surveyed area businesses to find out which resources were needed most.
“At least three quarters of the businesses that actually responded, signified that receiving some kind of financial assistance was absolutely necessary,” said Jewell.
The city set aside $600,000 to be used for small businesses recovery grants. Council approved the idea last week and the application process in underway.
“The selected applicants could receive up to $10,000 or 15% of the prior year operating expenses, whichever is less.”
The money could be used for lease payments, utilities, inventory costs and payroll.
The program is being offered to businesses with 50 or fewer full-time employees.
To qualify, the business must have been open since at least March 1st, 2019, be current on taxes and cannot be in bankruptcy. Business owners also need to have previously applied for a disaster or paycheck protection loan.
Small businesses wanting to apply can submit forms on the city’s website.
The deadline is Friday, June 19th at 5 p.m. The money would likely be paid out in July.