Small Business Continuity Grant Program

The City of Las Cruces has launched the Las Cruces Small Business Continuity Grant Program to assist Las Cruces businesses who have been negatively impacted by Covid-19.

The one-time grants of up to $10,000 for qualifying small businesses and non-profits are designed to cover costs of business interruption and redesign such as non-owner employee wages, vendor bills, rent, mortgage payments, marketing, outdoor dining expenses, sanitization supplies, PPE, and utility costs caused by required city and state closures. Funds have been provided by the federal government through the State of New Mexico via the 2020 CARES Act.

The application process will open October 19, 2020, and close in October 30, 2020. Applications will be submitted online, and will be facilitated by the City of Las Cruces Economic Development Department.

Eligibility Overview

  • Applicant suffered from business interruption caused by required closures or partial closures resulting from the COVID-19 public health emergency.
  • Applicant suffered economic loss (excluding loss covered by insurance or reimbursed by a federal, state, or local program) as a result of business interruption caused by COVID-19.
  • Applicant employed up to 50 full-time equivalent employees, including owner, as of February 29, 2020
  • Applicant physical place of business is located within the City limits of Las Cruces, New Mexico.
  • Applicant must make no more than $2 million in gross revenue in 2019.
  • Applicant has a current City of Las Cruces Business Registration.
  • Applicant can demonstrate ongoing operations as of March 10, 2020
  • Businesses must have had valid business registration issued by the City of Las Cruces no later than March 10, 2020.
  • Applicant is expected to be operational after local and state emergency guidelines are completely rolled back.
  • Applicant does not have current unpaid code enforcement liens and is not operating in violation of any federal, state, or local laws.
  • No owner, officer, partner, or principal actor of the organization has a felony conviction within the last two years for which he or she is still serving a sentence.
  • Applicant is in good standing with State of New Mexico and City of Las Cruces.
  • Applicant certifies they will only use funds for approved CARES Act funding options.
  • Applicant certifies funds will not be used to cover expenses previously covered by insurance or by any other federal, or state program.
  • Businesses must be willing to provide requested financial information for 2019 and 2020.
  • Businesses must demonstrate financial hardship due to COVID-19.
  • Funds must be used to reimburse costs incurred because of required closures, provided those costs are not paid by insurance or by any other federal, state, or local program.

Eligible business continuity expenses include

  • Non-owner employee payroll
  • Rent
  • Scheduled mortgage payments
  • Insurance
  • Utilities
  • Installing plexiglass barriers
  • Purchasing web-conferencing or other technology to facilitate work-at-home
  • Personal protective equipment (PPE) and sanitizing supplies
  • Equipment for outdoor dining and operations such as chairs, tables, shades, fences, misting systems, or heaters

Non-Profit Eligible Expenses

Non-profits are only eligible for the following:

  • Installing plexiglass barriers
  • Purchasing web-conferencing or other technology to facilitate work-at-home
  • Personal protective equipment (PPE) and sanitizing supplies
  • Equipment for outdoor dining and operations such as chairs, tables, shades, fences, misting systems, or heaters

Grant Amount

  • Grant awards are up to $10,000

Required Documents

  • W-9 Form
  • Articles of Incorporation or IRS Letter of Determination (non-profits only)
  • 2019 Tax Returns
  • Financial documents demonstrating sales decrease due to COVID-19 (2019 and 2020 Q1 and/or Q2 - Example - Profit and Loss and Balance Sheet or business bank statements)
  • Staffing Documentation (W-3 Summary, IRS FORM 941 Q1 and Q2 for 2019 and 2020)

How to Apply


Applications can be submitted online beginning October 19th, and will be accepted until October 30th 2020.

The application period will be open for 16 days during which time applications will be reviewed and scored. Finding will be determined after all applications are in. Funding awards will distributed in early November. A Grant Review Team member will be assignment to your application and will be in touch via email and phone during the submission process.

Frequently Asked Questions

How does the application process work?

The application period will be open for 16 days during which time applications will be reviewed and scored. A grant review team member will be assignment to your application and will be in touch via email and phone during the submission process. Funding will be determined after all applications are in, and awards will distributed in early November.

What if I don't have all the required documents?

Submit your application anyway, and a grant review team member will work with you to provide alternative documentation that will verify the required information.

How do I demonstrate a financial hardship?

Applicants must submit financial documents demonstrating sales decrease due to COVID-19 in Q1 and Q2 of 2020 compared to the same time period in 2019. Documents can be profit and loss statements, organizational balance sheets or business bank statements.

What if my business did not lose money during the shutdown?

Applicants must demonstrate financial hardship due to COVID-19. Applicants must submit financial documents demonstrating sales decrease due to COVID-19 in Q1 and Q2 of 2020 compared to the same time period in 2019.

What expenses are eligible?

  • Non-owner employee payroll
  • Rent
  • Scheduled mortgage payments
  • Insurance
  • Utilities
  • Installing plexiglass barriers
  • Purchasing web-conferencing or other technology to facilitate work-at-home
  • Personal protective equipment (PPE) and sanitizing supplies
  • Equipment for outdoor dining and operations such as chairs, tables, shades, fences, misting systems, or heaters

What will I need to provide to show money was spent on eligible expenses?

When your grant review team member informs you of your award amount, they will request documentation of previous eligible expenses, or documentation of future eligible expenses. Proof of previous expenses includes receipts for rent, mortgage, insurance, or utility payments, installation of plexiglass barriers, web-conferencing or other technology to facilitate work-at-home, personal protective equipment (PPE) and sanitizing supplies, equipment for outdoor dining and operations such as chairs, tables, shades, fences, misting systems, or heaters. Proof of future expenses includes, utility, mortgage, rent, insurance, or marketing statements. Quotes for materials or services will not be accepted.

What Businesses/non-profits are NOT Eligible to Apply?

  • Applicants with 51 or more employees on February 29, 2020
  • Applicants located outside the Las Cruces city limits
  • Applicants that were not registered with the City of Las Cruces as of March 10, 2020
  • Applicants that made more than $2 million in gross revenue in 2019
  • Applicants who can't demonstrate a financial hardship due to COVID-19.

Can I apply for more than one relief grant?

The program is limited to one grant per registered business/non-pro-fit in Las Cruces.

Where must businesses be located to be eligible to apply?

The program will be available to all businesses/non-profits registered and located within the Las Cruces city limits who meet all the eligibility requirements.

What if my business is located in the county?

For businesses located in Dona Ana County but outside the Las Cruces city limits, visit the Greater Las Cruces Chamber of Commerce website

Questions

If you have questions about the grant, or problems filling out the application, please contact us at: 575-541-2150, or at covidgrant@las-cruces.org