RISE Miami-Dade new deadline to postpone distribution of millions of CARES law funds before year-end
As local businesses continue to struggle to recover from the economic impacts of the coronavirus pandemic, RISE Miami-Dade – the Miami-Dade County Council of Commissioners’ small business loan fund has $ 25 million in funds. Federal stimulus package – just announced that it is relaxing the eligibility of the guidelines to allow more small businesses to access the aid program. In addition, RISE announced more favorable terms, a new application deadline and a new phone service for application support. This is all part of an effort to ensure that the roughly $ 14 million remaining in the fund is distributed by the federally mandated Dec. 31 deadline, which requires that any undisbursed stimulus money by then be returned to the federal government.
Under the new eligibility measures, small businesses in Miami-Dade must have:
- A maximum of 50 employees (compared to 25 originally);
- Maximum annual income of $ 5 million (up from the original $ 2 million);
- A minimum credit of 520 (compared to the original 575).
- The maximum loan amount is now $ 45,000 (was $ 30,000). And,
- The first loan payment is deferred until February 1, 2022. (Originally, payments were to start three months after a loan was granted.)
RISE also announced that all loan applications must be submitted by December 20, 2020. Small businesses can apply online at RiseMiamiDade.com or call the fund’s new phone service at 305-593-3311.
“We understand the urgency of this moment and we see that small businesses in our community are still grappling with the economic impacts of the pandemic. That’s why we thought it was crucial to do even more to ensure that these aid funds can reach as many small businesses in Miami-Dade as possible, ”said George Joseph, CEO of the Dade County Federal Credit Union, which operates the fund. “By opening up the requirements and changing the eligibility factors, we believe we’re making it easier for businesses to access the support they need right now. “
Since launching over the summer, RISE has made more than $ 7 million in loans to 400 businesses in Miami-Dade, from hair salons in Kendall to pet groomers in Homestead, legal offices in Aventura to North Miami dry cleaners, South Miami bakeries. to solopreneurs throughout the county.
From the start, RISE made it a priority to research and support small businesses owned by Blacks, women and minorities that historically lacked access to capital but have been disproportionately affected by the economic crisis. induced by the pandemic.
To help you, the application process and document requirements for RISE have been designed to be simple and streamlined, unlike the cumbersome process for many other relief programs. In addition, one-on-one assistance is offered to business owners who need help with gathering documents or with technology. Importantly, the funds were designed to be more flexible than what other programs provide: a RISE loan can be used to cover payroll or rent, to purchase technology, or to cover any business-related expense. .
Many RISE recipients are business owners who have been turned away by other relief programs. Concrete example: Johnson Louis, owner of JLouis Dry Cleaner in North Miami and whose activity was paralyzed as soon as the lockdown measures took effect. “Our services depend on clients who go to church, schools, weddings and parties. With the closure, these events have stopped and the need for our services has ceased. After being denied PPP and SBA loans, JLouis Dry Cleaner was able to secure a RISE loan which he used “to cover rent, pay salaries, and pay other business expenses that don’t go away just because that my clients have done “.
RISE Miami-Dade was created by a unanimous vote of the Miami-Dade County Council of Commissioners in June, when the commissioners agreed to allocate $ 25 million from the federal CARES Act stimulus package to create a loan fund for local small and micro-businesses – the mom-and-pop stores that had been largely excluded from other relief programs such as the Paycheck Protection Program (PPP) or Small Business Administration disaster loans . (However, having received support from these programs has never prevented a small business from accessing a RISE loan.)
RISE Miami-Dade is operated by the Dade County Federal Credit Union in partnership with three Community Development Financial Institutions (CDFIs) or community lenders: Ascendus, the Miami Bayside Foundation, and the Black Business Investment Fund.
Find all the eligibility and application conditions on RiseMiamiDade.com.