City of Conway
Small Business Relief Program

2020 SMALL BUSINESS RELIEF GRANT PROGRAM- In response to the economic hardships experienced by small businesses resulting from the COVID-19 pandemic, the city of Conway is launching the 2020 Small Business Relief Grant Program in an effort to retain jobs and stabilize local businesses. The primary Community Development objectives of assistance to low- and moderate-income persons will be achieved as grants to retain jobs that would have otherwise been lost for at least 90 days.

This Program is a gap financing program in response to the Covid 19 outbreak for businesses that have lost business or had to close as a result of social distancing.

I.            PROGRAM REQUIREMENTS
    1.       Eligibility and Terms 
Eligible businesses may be awarded up to $10,000 in grant funds for the following eligible uses:
   a) Reimbursement for up to 3 months’ rent. The maximum assistance amount is the lesser of 3 months’ rent or $5,000. 
   b) Reimbursement for up to $5,000 for supplies and equipment purchased for re-opening after a Covid-19 related business closure. 
   2.       Eligible Businesses

  • For-profit business located in the city of Conway
  • Applicant is 51% + majority owner of business
  • Owner/applicant is a qualified Low/Mod Income household (for businesses with no more than 5 employees) OR business commits to retaining FTE jobs held by a member of Low/Mod Income household
  • Owner is 18 years or older
  • Owner has or will have a valid SS #, EIN & DUNS, Business Bank Account
  • Owner/Applicant is not currently in bankruptcy
  • Owner/Applicant is current with property taxes and municipal fees, or has a payment plan in place with the municipality as of May 30, 2020
  • Business will have active liability insurance within 30 days
  • Satisfied deliverables of other City-based funding requests (as applicable)
  • Not have a conflict of interest with the city of Conway, or the operating program agency

  3.   Terms

  • Maximum request: 
         Rent Assistance: Lesser of three months’ rent or $5,000

         Equipment or Supplies: Actual  amount up to $5,000
  • Minimum request: $1,000
  • Business Relief program recipients must retain at least one job for a minimum of 90 days.

II.    PROGRAM SERVICE AREA
Financing under this Program is available to eligible for-profit businesses registered and located within the city of Conway. The location of the business will be determined by the place of business administration and registration address.

III.     FUNDING SOURCE AND REIMBURSEMENT
The Business Relief Program is funded through Community Development Block Grant-CV (CDBG-CV) funds provided by the Federal Department of Housing and Urban Development (HUD) to the city of Conway. As such, these funds have Federal requirements, as described below.

Funds will be disbursed by reimbursement to the applicant for documented eligible project expenses.

IV.      ELIGIBLE APPLICANTS

  • Retail oriented businesses including restaurants serving a primarily Low- or Moderate-income area and have been in operation in the city of Conway for at least 12 months.
  • Micro Enterprises – businesses with 5 or fewer employees including the owner/operator. Owner must qualify as Low or Moderate income and have been in operation in the city of Conway for at least 12 months.
  • Business that do not serve a low-moderate income area or are not a micro enterprise are eligible, provided they commit to the retention or creation of at least one job held by a member of a low-moderate-income household and have been in operation in the city of Conway for at least 12 months.
    • Job retention is defined as total full-time equivalent positions retained at 40 hours per week, or any combination of part-time positions combining for 40 hours per week, including owners. At least 51% of the positions retained or created must be held by employees who are a member of a low-moderate-income household or the job can reasonably be expected to turn over within the following two years and steps will be taken to ensure that the job will be filled by, or made available to, a LMI person
    • For funded activities that retain jobs, there must be sufficient information documenting that the jobs would have been lost without the CDBG assistance.
  • Eligible applicants must have a registered business address within the city limits of Conway.

V.     INELIGIBLE APPLICANTS

  • Nonprofit organizations are not eligible businesses and will not be considered for funding.
  • Other ineligible businesses include payday grant businesses, pawn shops, adult entertainment, passive real estate investments, or home-based businesses operating without appropriate zoning and/or permits.

VI.    ELIGIBLE USE OF FUNDS

  • Reimbursement for up to 3 months rent, not to exceed $5,000.
  • Eligible months are June 2020, July 2020 and August 2020.
  • Eligible applicants must not be delinquent on rent.
  • Reimbursement for expenses related to re-opening or restarting of a business line after a Covid-19 related closure, such as a restaurant resuming on-site dining. Eligible expenses are limited to actual amounts up to $5,000 and include:
    • Professional services including engineering, architectural, local permits or fees, business consulting services as approved by City staff
    • Equipment purchase (with or without installation costs)
    • Supplies
    • Marketing materials and advertising including website development and servicing

VII.   INELIGIBLE USE OF FUNDS

In addition to CDBG-ineligible costs outlined in 24 CFR 570, funds under this Program may not be used to:

  • Reimburse expenses incurred prior to Applicant approval of grant or grant.
  • Pay off non-business debt, such as personal credit cards for purchases not associated with the business.
  • Purchase personal expenses such as buying a new family car or making repairs to a participant’s home.
  • Direct financing to political activities or paying off taxes and fines.
  • Purchase of personal items
  • Support of other businesses in which the borrower may have an interest.

VIII.   Applicant Capacity

The City must confirm that the business and the applicant(s) possess the capacity to execute the project proposal to be successful with the use CDBG funds. As such, grant applicants for the Relief Program are required to demonstrate management capacity and ability to successfully operate a business through their application.

IX.    Cash Flow

(a)     Applicants must furnish the last two years financial statements in the form of income tax statements. In the case of a business that has been in business for less than two years, all income tax returns as filed, must be submitted.
(b)    Applicants shall be required to furnish an interim financial statement, not less than 90 days old, internally prepared.
(c)     Projections must be supplied on a monthly basis for a period of four full months.
(d)    Projections must include balance sheets, sources and uses and a statement of cash flow.
(e)     All projections must include the assumptions made. Purchase orders, or letters from potential customers will help strengthen the assumptions.
(f)     Applicant financial statements and projections will be reviewed by city staff to confirm that the business has the financial capacity to retain, for at least 90 days, at least one job held by a member of a low-mod income household.

City of Conway
Business Relief Program
Application

1. Applicant Information

Name of Business:

Owner Name:

FEIN, Tax ID, or Social Security Number:

Business Physical Address:

Mailing Address (If Different):

Business Phone Number:

Owner Phone Number:

Business Email:

Owner Email:

Date Business was established:

Form of Business Ownership: Choose one.
  LLC
  S-Corp
  C-Corp
  Partnership
  Sole Proprietorship

Type of Business:
  Food/Restaurant
  Retail
  Service
  Contracting/Construction
  Day Care
  Other: 

Brief Description of Business:


Is the Business a certified MBE/WBE?          Yes   No
Is the Business owner a Conway Resident?    Yes  No
Annual Gross Business Revenue (2019) 
Does your business employee 5 or less people, including yourself?   Yes  No  If yes, how many? 

Are you a low or moderate income business?   Yes  No. If yes, please state income level and household size. Low income means less than or equal to 50% of the Area Median Income (AMI). Moderate income means less than or equal to 80% of the Area AMI. See Chart Below.


    Myrtle Beach-North Myrtle Beach-Conway, SC
    FY 2020

 Household Size  1  2  3  4  5  6  7  8
 Income Limit Low
 50% of Median
 $20,400  $23,300  $26,200  $29,100  $31,450  $33,800  $36,100  $38,450
 Income Limit 
 Moderate
 80% of Median
 $32,600  $37,250  $41,900   $46,550  $50,300  $54,000  $57,750  $61,450


What is your ethnicity?
  Hispanic or Latino
 Non-Hispanic or Latino

What is your Race? (Check all that apply)

  White/Caucasian
  Black/African American
  Asian
  Native American/Alaskan Native
  Native Hawaiian/Pacific Islander
  Other

2. COVID-19 Impact

Have you laid off employees since 04/07/2020?  
Are you planning to lay off any employees in the future? 
Will this assistance allow you to retain at least one job for a person that is part of a low income household?

What is your total gross YTD revenue by June 1st in 2019? 
What is your total gross YTD revenus as of June 1st, 2020? 
Total Monthly Rent? 
Does the business oweFederal or state taxes currently?  Yes  No. If yes, please list entity and amount.

Does the business currently owe taxes to the City of Conway?  Yes  No. If yes, please state amount.

Expenses for goods or supplies needed to re-open business? (Please include type & amount & copy of the invoice and proof of payment).

Is your business still open?  Yes  No
Please provide a brief narrative of how your business has been impactated by the public health emergency and associated business restrictions, including financial loss.


How much funding are you requesting? 

Have you applied for funding from Federal Programs (PPP or SBA), State of SC, or any other COVID-19 related funding programs? 
Have you been approved or received any funding from the above programs?   Yes  No.  If yes, how much were you awarded, from what program, and for what costs? 


3. Required Documents

Please upload the following documents as outlined in Section IX Cash Flow, above.

(a)     Applicants must furnish the last two years financial statements in the form of income tax statements. In the case of a business that has been in business for less than two years, all income tax returns as filed, must be submitted.
(b)    Applicants shall be required to furnish an interim financial statement, not less than 90 days old, internally prepared.
(c)     Projections must be supplied on a monthly basis for a period of four full months.
(d)    Projections must include balance sheets, sources and uses and a statement of cash flow.
(e)     All projections must include the assumptions made. Purchase orders, or letters from potential customers will help strengthen the assumptions.
(f)     Applicant financial statements and projections will be reviewed by city staff to confirm that the business has the financial capacity to retain, for at least 90 days, at least one job held by a member of a low-mod income household.
Please browse for each document and upload them, you may select multiple files when browsing.



4. Certifications

By submitting below, I make the following certifications:

1. All answers and representations that are made in this Application are true and correct to the best of my knowledge and I will submit truthful information in the future.
2. Any grant funds received will be used for business operating purposes as specified in the grant award; I understand that if the funds are used for unauthorized purposes, I shall return those grant funds and further may be subject to criminal fraud charges or civil action.
3. I have not received funding from any federal, state, or any other COVID-19 related funding programs for the expenses I have requested funding for in this application. Any such “duplication of benefits” will result in the necessary return of the grant funds to the City of Conway.
4. Neither I nor any owner of my business is presently subject to an indictment or formal criminal charges, nor presently incarcerated.
5. I understand that I will be required to execute a Grant Agreement outlining all of my responsibilities as an awardee, should my application be accepted and funded.
6. My business is current on all taxes due to the City of Conway and no liens are on record against my business for unpaid taxes.
7. I pledge my best efforts to resume full operation of my business at the earliest possible to time and to retain or rehire employees as soon as practicable.
8. I agree to cooperate with the City of Conway in any audit or business review upon request and will retain records of expenses funded by this grant.

Business Owner Name:


Date: