Detroit Small Business Stabilization Fund

Overview

To mitigate barriers to capital for Detroit’s most vulnerable businesses, TechTown Detroit will administer an emergency fund that provides working capital grants in amounts up to $5,000 to qualifying small businesses. The following is the investment criteria for financial support:

Criteria

• The business owner’s household income must be low- or moderate-income(≤80% of the Area Median Income). Business owners must provide proof of personal income based on their 2018 or 2019 tax returns.
• Business owners will need to provide their Social Security Number (SSN) OR Individual Taxpayer Identification Number (ITIN) number.
• The business must have ten employees or less.
• The business must have a physical establishment in the city of Detroit. Hamtramck and Highland Park-based businesses do not qualify. Our priority is to assist companies that sell products and services to their customers face-to-face. This includes Detroit-based food trucks.
• The business must have experienced a loss of income due to COVID-19.
• The program will be available to all citywide businesses meeting the eligibility requirements. Businesses with low-income owners located in neighborhoods at high risk for displacement will be given preference.
• Funding will be provided to business entities only. Your business bank account number, Michigan business entity identification number, and employer identification number (EIN) will be required. Click here for the Michigan business entity search to look up your Michigan business entity ID number.
• Grants may be used to cover the day-to-day operating expenses of the business, such as payroll or losses due to destabilizing events.

When will applications be accepted?

We anticipate accepting applications by Friday March 20, 2020. In the meantime, business owners should be collecting documents to verify eligibility.

When will decisions be made on individual applications?

Applications will be reviewed on a rolling basis and decisions will be made as quickly as eligibility can be confirmed.

Does my income qualify as ≤ 80% of the Area Median Income?

Chart data source: U.S. Department of Housing and Urban Development

1. What are the eligibility requirements?

Businesses must meet the following requirements to be eligible to apply:

(1) the business owner must have low- or median income (≤80% of the Area Median Income);

(2) the business must have 10 or fewer employees, including the owner(s);

(3) the business must have a physical location in the city of Detroit, and

(4) The business must have experienced a loss of income due to COVID-19.

Candidates must meet the criteria and agree to share financials and other essential information.

2. What businesses are NOT eligible to apply?

Businesses that are franchises and chains.

3. Up to what amount of money can a business apply for?

Grants will be awarded in an amount up to $5,000.

4. What can the grant be used for?

Grant money may only be used for the operating expenses of the awarded business. The operating expenses are defined as the day-to-day trading operations of the business such as covering payroll and rent.

5. When must applications be submitted?

Applications will open on Friday, March 20 at 5 p.m. and be accepted on a rolling basis until all available grant money is awarded.

6. Where must businesses be located to be eligible to apply?

The program will be available to all Detroit-based businesses meeting the eligibility requirements. Hamtramck and Highland Park-based businesses are not eligible to apply.

7. When will applications be accepted?

We anticipate accepting applications by Friday March 20, 2020. In the meantime, business owners should be collecting documents to verify eligibility.

8. When will decisions be made on individual applications?

Applications will be reviewed on a rolling basis and decisions will be made as quickly as eligibility can be confirmed.

9. How can I donate to this fund?

Donate here.

A big thank you to the Quicken Loans Community Fund and all the donors who have come together to support our small business community.