Citizens Bank is extending a new lifeline to Connecticut small businesses through a partnership with the state chapter of a nationwide community development nonprofit.
Officials at the Providence-based lender said they pledged $ 100,000 to Local Initiatives Support Corp. of Connecticut, better known by its initials, LISC. The non-profit organization will use the money to administer individual grants of up to $ 5,000 to businesses in the region affected by the coronavirus outbreak.
To be eligible, a business must have been in business in Connecticut for at least two years and be registered and in good standing with the Secretary of the State Office. They must not have any privileges or judgments pending against them.
According to LISC, the stimulus fund is designed for any small business facing immediate financial pressure as a result of the ongoing public health crisis, especially businesses owned by people of color, women and veterans, as well as businesses in historically underserved communities that lack access to affordable capital.
The subsidy can be used to pay rent and utilities, cover payroll and reimburse suppliers, or to cover other “immediate operational costs”.
The online help request is available on the LISC website. The application queue will remain open until 11:59 p.m. Wednesday, or until the first 100 applications have been received, whichever comes first.
Entries will be removed after the first 100 submissions, and grant recipients will be chosen from this pool. Participating businesses will be required to provide a signed and submitted 2018 or 2019 tax return and proof of an individual federal tax identification number.
The program is not open to nonprofits or private businesses that generated more than $ 1 million in revenue in 2019.
Citizens Bank has pledged $ 5 million to charities and community development institutions in states where it operates in response to the growing economic fallout from COVID-19.
Of this amount, approximately $ 2.2 million will be distributed by organizations like LISC. An additional $ 2 million will be provided directly to business customers of Citizens Bank, while $ 860,000 will go to coronavirus relief efforts led by organizations such as the Boston Foundation and United Way.
Citizens Bank operates more than 1,200 branches and approximately 3,200 ATMs.
in 11 states, including Connecticut, Rhode Island, Massachusetts and New York.