COVID-19 Microenterprise Stabilization Grant (MicroE) Program

The Town of Cumberland, with Community Development Block Grant (CDBG) funds provided by the R. I. Office of Housing and Community Development (OHCD) and the U.S. Department of Housing and Urban Development (HUD), is offering working capital grants of $5,000 to qualifying small business microenterprises adversely impacted by COVID-19.

Eligible Businesses: Certain types of microenterprises are eligible. A microenterprise is defined as a commercial enterprise that has five or fewer employees, one or more of whom owns the enterprise.

The microenterprise owner’s gross annual family income may not exceed the applicable income limits below.

CUMBERLAND LOW/MODERATE INCOME LIMITS (80% AMI) 2020
	1 Person	2 Persons	3 Persons	4 Persons	5 Persons	6 Persons	7 Persons	8 Persons
Maximum Income	$48,750	$55,700	$62,650	$69,600	$75,200	$80,750	$86,350	$91,900

Businesses must meet the following eligibility criteria:

Be a microenterprise of five or fewer employees, one or more of whom owns the enterprise
Be owned by low- or moderate-income person(s) (≤80% of the Area Median Income, based on family size), based on the table above
Be a for-profit entity (sole proprietorships, partnerships, corporations, or LLCs)
Have a physical establishment in the city/town of application
Provide goods or services to multiple clients or customers
Be in good standing with the state and city/town
- Be current on all taxes due through 3/1/2020
- Active and valid state licenses/registrations, if applicable
- Not a party to litigation involving the state or city/town
Be able to document a loss of income of at least $1,000 due to COVID-19
Have been in business for at least one full tax year (i.e. since before 1/1/2019)
Have annual gross revenues greater than $25,000
Have at least two employees, including the owner(s)
Have not received monies, or award/approval from the Economic Injury Disaster Loans (EIDL) or the Paycheck Protection Program (PPP) at time of application
Not be listed under the excluded business types, as amended (see below)

Required Documents: Applicants must submit all application forms, and supporting documents, including copies of:

Driver’s License or State-Issued Photo ID
Personal tax returns for all adults filing separately (2018 or 2019)
Business tax returns (2018 or 2019)
Copies of payrolls for most recent pay period and pay period ending on/before 3/7/2020
Copies of receipts for impacted period in 2020 (e.g. March), and same period in 2018, 2019

Grant Amounts: $5,000 grants will be disbursed via a single lump-sum payment to approved, eligible microenterprises.

Use of Funds: Funds may be used for working capital to cover business costs, such as rent, staffing, and utilities. MicroE funds may not be used for major equipment purchases, purchase of real property, construction activities, business expansion, or lobbying.

Excluded Business Types: The following business types are excluded from participating in this program:

Cannabis-related businesses
Real estate rentals/sales businesses
Home-based businesses with no employees
Businesses owned by persons under age 18
Businesses that are franchises or chains
Liquor stores
Weapons and firearms dealers
Political lobbying firms and lobbyists
Independent consultants/contractors who provide services to a single entity
Home-based businesses that are restricted to patrons below the age of 18

Microenterprises owned by students age 18+ are generally ineligible, unless the student owner is the sole means of financial support for other family members

Pre-Screening Phone Interview

Prior to submitting an Application, you must participate in a pre-screening phone interview. For more information please contact Glenn Modica at gmodica@cumberlandri.org or 401-728-2400 x146