Issaquah Business Grants
Many Issaquah businesses have experienced negative economic impacts of COVID-19. These businesses are employers in our community and provide critical and unique products and services. To address these needs, the City has allocated $1,280,000 for direct business grants to support Issaquah businesses in 2020 and 2021.
Business Recovery Grant
As the pandemic restrictions on business operations were increased in the fourth quarter of 2020 and continues to not allow full operations into 2021, the City has allocated an additional $250,000 in funding for direct business grants. These grants are intended to support businesses that continue to be negatively impacted by restrictions on business operations.
The Business Recovery Grant is available to home-based businesses and brick and mortar businesses up to 25 employees. Businesses that have received grant funding from the City in 2020 are not eligible for this grant program. Uncertain if your business received a grant in 2020? View the list of business grants.
Home-based businesses are registered through business license or WA Secretary of State records to a residential address. Home-based businesses will be eligible for grants up to $2,500.
Brick and Mortar businesses are registered through business license or WA Secretary of State records to a commercial address and conduct business at this address. Post office boxes do not count as a brick and mortar location. Brick and mortar businesses are eligible for grant amounts according to employee size in 2020:
- Up to 10 employees: Up to $5,000
- 11 – 25 employees: Up to $7,500
Nonprofits are not eligible.
Applications will be accepted between Feb. 17 and Mar. 8 at noon. Grant applications will be reviewed for eligibility and randomly sorted for funding order. Grant announcements will be announced by Mar. 31, 2021.
Review the program details below and apply today!
- $250,000 in City-administered grants for businesses
- Grant awards will be made between $2,500 - $7,500; partial grants may also be awarded.
- Eligible expenses must have been incurred on or after Nov. 1, 2020.
- Grant recipients are required to enter into a Grant Agreement with the City which will require the filing of a report on how the funds were spent.
- Grant recipients must also submit a W-9.
- Grant funds may be taxable income; please consult with your financial advisor for guidance. A 1099 will be issued to a grant recipient as required by the IRS no later than Jan. 2022.
Business must meet the following eligibility criteria in order to apply:
- In business since Jan. 1, 2020
- Fewer than 25 employees
- Have a physical location within Issaquah
- Experienced a loss of income due to COVID-19
- Business in operation at time of grant award
- Have not received a Small Business Recovery Grant, Business Reinvention Grant, or Winterization Grant from the City of Issaquah (Uncertain if your business received funding from the City? View City Business Grant list here.)
- Are in good standing (e.g. have current business license; City taxes and fees paid; current on all State and regulatory requirements; not facing pending litigation or legal action, including Issaquah code enforcement)
- Confirm your eligibility (see eligible businesses above).
- Before you begin:
- Determine the expenses incurred since Nov. 1, 2020 for the application. If your business is awarded the grant, receipts for actual eligible expenses will be required to be submitted.
- For brick and mortar businesses, employee count will be determined by the highest employee count within 2020. If your business is awarded the grant, an Employer’s Quarterly Federal Tax Return (Form 941) or other documents will be required to be submitted to confirm employee count.
- Find your UBI Number and expiration date of your Issaquah Business License (Look up your information on WA State Department of Revenue)
- Complete an online application:
- Applications must be submitted by Monday, Mar. 8 at noon. Please note that partial applications are not valid if not submitted before noon.
- The City’s goal is to notify applicants about grant decisions by Mar. 31, 2020.
Eligible expenses must have occurred on or after Nov. 1, 2020 and were not included in Payroll Protection Program loans from the Small Business Administration or grant awards from other entities. The eligible business expenses are limited to the following types of expenditures:
- Payment of rent or required monthly loan payments
- Payments of regular wages, taxes, and typical benefits to employees (e.g., health insurance, paid vacation / sick leave essential to maintain operations, but only to the extent those wages, taxes and benefits have not been reimbursed by other federal, state or regional grants or loans.)
- Payment for personal protective equipment, sanitizer, disinfectant, or other supplies, equipment or physical changes (e.g., plexiglass barriers, or other furnishings to accommodate physical distancing) necessary for the protection of public health or the health of business or organization owners or employees in relation to the COVID-19 emergency.
- Typical operating costs and expenses, including those set forth on an income statement, as a regular, ongoing cost of operating the business.
- Typical draw or wages on a regular interval to owner, provided such draws or wages are consistent with those paid in previous intervals, quarters or years.
- Eligible expenses must have been incurred since Nov. 1, 2020.
If you have any questions, please contact Economic Development staff.
Small Business Response Grant
The City allocated $500,000 to help businesses recover from the economic impacts of COVID-19. This program accepted applications from July 1 – July 15, 2020. Applications were received from 220 businesses requesting over $2 million. The City allocated an additional $155,000 in Sept. 2020 and $500,000 in Nov. 2020 to fund previously submitted applications. View the 123 business grant recipients.
Business Recovery & Reinvention Grant
The City allocated $50,000 to fund innovative solutions to address business needs due to business changes necessary as a result of COVID-19. The program accepted applications from Aug. 3-19, 2020. Applications were received from 50 businesses requesting over $400,000. In Sept. 2020, an additional $45,000 was allocated to fund previously submitted applications. View the 11 business grant recipients.
Restaurant Winterization Grant
The City allocated $30,000 to fund restaurants and food service businesses for exterior or interior alterations and equipment to enhance inclement weather dining options during the ongoing COVID-19 pandemic. The program accepted applications from Sept. 22 – Oct. 7, 2020. Applications were received from 29 businesses requesting over $130,000. Priority was given to businesses that did not receive funding from previously awarded City of Issaquah grant programs or the Downtown Streatery winterization investment. View the 8 business grant recipients.
Subscribe to our Economic Development E-News to learn about future funding opportunities.