S.D. Small Businesses, Startups, Nonprofits Can Apply for 2nd Round of COVID Relief Funding

Small businesses, startups, and nonprofits in South Dakota have until Dec. 20 to apply for up to $500,000 in relief funds.

Below are the requirements for small businesses and small nonprofits.

Small businesses are eligible to apply if they:

• Are physically located in South Dakota;
• Experienced a reduction in business (year over year cash flow from operations, considering federal aid) of at least 15% between September and November of 2019 and 2020;
• Have 2019 full year gross revenues that don't exceed $38.5 million;
• Can show that business is a going concern with South Dakota.

Small startups are eligible to apply if they:

• Were an applicant for the first round of funding;
• Are physically located in South Dakota;
• Registered with the Secretary of State or Department of Revenue between Sept. 1, 2019, and June 1, 2020;
• Have a net loss in three of the six months between March 2020 and August 2020 or if their average monthly income between March 2020 and August 2020 is less than 120% of their average monthly income before March 1, 2020.

Small nonprofits are eligible to apply if they:

• Are physically located in South Dakota;
• Have federal or South Dakota nonprofit status;
• Experienced a reduction in year-over-year cash flow from operations (considering federal aid) of at least fifteen percent between September and November of 2019 and 2020;
• Have 2019 full-year gross revenues that don't exceed $38.5 million;
• Can show entity is a going concern with South Dakota.

The state will accept the second round or applications between Dec. 14-20. You can find the full application details — including application requirements — at https://covid.sd.gov/smallbusiness-healthcare-grants.aspx. If you have any questions about the application process, you can call the state Monday-Friday from 8 a.m. to 5 p.m. CST at 605-937-7243.

If you have questions about loans, grants, or other financial assistance for your small business or nonprofit, please reach out.

This communication is intended to provide general information on legislative COVID-19 relief measures as of the date of this communication and may reference information from reputable sources. Although our firm has made every reasonable effort to ensure that the information provided is accurate, we make no warranties, expressed or implied, on the information provided. As legislative efforts are still ongoing, we expect that there may be additional guidance and clarification from regulators that may modify some of the provisions in this communication. Some of those modifications may be significant. As such, be aware that this is not a comprehensive analysis of the subject matter covered and is not intended to provide specific recommendations to you or your business with respect to the matters addressed.