$125 Million in Grants Available to Ohio Small Businesses

The Ohio Development Services Agency has announced a November 2 opening for applications for grants totaling $125 million in CARES Act funds for eligible Ohio small businesses. To be eligible, an Ohio business must:
    • Be a for-profit entity
  • Have had between one and 25 total or full-time equivalent (FTE) Ohio employees as of Jan 1, 2020 (Calculate FTE for purposes of the grant by dividing your 2019 compensated hours by 2,080 [52 weeks x 40 hours] which is different from the calculation used for the Paycheck Protection Program.)
  • Have a physical location in Ohio
  • Earn at least 90 percent of annual revenue on activities performed in and taxable to Ohio
  • Have been in continuous operation since Jan 1, 2020, with the exception of any COVID-related mandatory shutdowns
  • Have experienced revenue losses or unplanned costs caused by COVID-19 that make the grant, according to the announcement, “necessary to help the business recover”
  • Be in good standing with the Ohio Secretary of State, the Ohio Department of Taxation, and all other government entities
  • Have exhausted other government support received relative to the pandemic
  • Not be considered an ineligible business as described at www.businesshelp.Ohio.gov
  Eligible uses of grant funds include:
  • Personal protective equipment specific to COVID-19
  • Measures taken to protect employees or customers from COVID-19
  • Business mortgage or rent payments
  • Business utility payments
  • Compensation to contractors or employees, including employer’s share of healthcare insurance
  • Business supplies or equipment
  Grant recipients must retain records of how funds are spent for five years from the final expenditure. Funds will be awarded on a first-come, first-served basis. Eligible businesses can apply at www.businesshelp.Ohio.gov as of Monday, November 2, at 10:00 a.m. For more information including application submission requirements, visit www.businesshelp.Ohio.gov.
About the Author(s)
Amy Reynallt is a Manager with the HBK Manufacturing Solutions Group in the Youngstown, Ohio office of HBK CPAs & Consultants. She is experienced in navigating the strategic and financial matters associated with manufacturing and works closely with manufacturers to help them plan, execute, and meet their short- and long-term financial goals. Amy can be reached at 330-758-8613 or by email at areynallt@hbkcpa.com.
Hill, Barth & King LLC has prepared this material for informational purposes only. Any tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or under any state or local tax law or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein. Please do not hesitate to contact us if you have any questions regarding the matter.