Small businesses impacted by COVID-19 pandemic receive $96M in grants

© Shutterstock

The state recently awarded an additional $96 million in grants to 5,373 small businesses statewide impacted by the COVID-19 business closure order.

Funding is through the COVID-19 Relief Statewide Small Business Assistance program. The program is allocated through the state budget and includes $2.6 billion in federal stimulus funds through the Coronavirus Aid, Relief and Economic Security Act. A total of $225 million of the act was allocated for small businesses relief.

The Pennsylvania Community Development Financial Institutions (CDFIs) are administering the grants, and the Department of Community and Economic Development distributed the funds.

“We’ve seen the impact of this pandemic-fueled economic crisis on the small businesses in our communities,” James Burnett, PA CDFI Network vice chairman, and West Philadelphia Financial Services Institution executive director, said. “We targeted these funds to reach the smallest and most vulnerable businesses across the state, and as CDFIs, we were able to mobilize our networks to reach those who have been hardest hit by the pandemic.”

A total of 52 percent of the businesses are classified as historically disadvantaged businesses.

The COVID-19 Relief Statewide Small Business Assistance Program has approved $192 million in grants distributed to more than 10,000 businesses.