By: Grayson T. Orsini
In response to the COVID-19 outbreak and Governor Northam’s order to close businesses, The Virginia Beach City Council has voted to allow economic development funds from the Virginia Beach Development Authority to be used for emergency grants. Businesses that qualify may be able to up to $10,000.00 for rent, utility, and other expenses related to the COVID-19 pandemic.
In order to qualify, a business must be able to show that:
It employs fewer than 500 employees;
- It has operated in the City of Virginia Beach for at least 12 months);
- It continues to operate during pandemic, or was ordered closed by Governor Northam's Order;
- It experienced a major disruption to its revenues, so that it won’t be able to make rent payments, utility payments, or to meet its other obligations without reducing the number of employees.
- It operated in a leased space and the landlord is not a related entity to the owner or owners of the business; and
- It agrees it will forestall any reduction in its workforce during the grant period as defined in Section 3.
In order to apply, a business must me the following affirmations and representation:
- A statement of the impact to its operations due to the Local Emergency;
- A statement to the effect of, because of the pandemic, it cannot generate sufficient revenue to pay its rent, utilities, and/or other business obligations;
- Receiving the Grant will allow it to continue operations and forestall any reductions in employees;
- Its landlord has agreed to waive all late fees, interest and/or penalties attributable to rent paid via the Grant; and
- There is a valid lease in place (applicant shall provide a copy of its current lease to establish the amount of the Grant) or other written binding obligation for which the business seeks assistance.
A business applying for the grant must submit an application, and a “Disclosure Statement Form” by mail to:
Dept. of Economic Development
4525 Main Street, Suite 700
Virginia Beach, Virginia 23462
Applications and Disclosure Statement Forms can also be emailed by firstname.lastname@example.org before June 30, 2020.
To see if you qualify, or if you need help putting together an application, fell free to contact an attorney at Wolcott Rivers Gates. We are ready to help out Virginia Beach’s business community.