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California

These resources – like the public health crisis itself – are constantly evolving and are only current as to the date of publication. This page was last updated on September 25, 2020.

For more up-to-date information on the relief programs available in California, we recommend that you visit the Secretary of State's website or the California COVID-19 portal.

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Description of Program and Relief

City of Sacramento, California: Small Business Forgivable Loan Program

The Sacramento City Council approved a $10 million Small Business loan program to assist local businesses and non-profits impacted by the COVID-19 pandemic.

The program will provide forgivable loans and technical assistance to eligible businesses and non-profits within the City of Sacramento. Businesses with 1-2 employees will be eligible for a flat rate loan of $2,500, businesses with 5 or fewer full time employees will be eligible for a flat rate loan of $5,000, and businesses with 6-25 full time employees will be eligible for up to $25,000. The funds can be used to cover operating expenses, including payroll, rent, inventory, insurance, and equipment for technological improvements. The City will distribute at least 75% of the funds to economically disadvantaged communities. Additionally, at least 25% of the funds will be made available to businesses with 5 or fewer full time employees. Funding is expected to be disbursed in early August to businesses that have been selected for assistance.

Government or Lead Agency

Sacramento City Council

Dates Available

Currently available through July 13, 2020 at 5:00 p.m.

Eligibility Requirements/Restrictions

The City will screen applications using the eligibility criteria, and will subsequently review and score the applications. After the initial screening, review and scoring process, the City will use a lottery or random draw to make the final selection.

Businesses must (1) have fewer than 25 full time employees during an average week in 2019; (2) have a physical establishment within the City of Sacramento; (3) have been in business 12 months as of March 1, 2020; (4) have projected annual revenues of less than $3 million in gross revenue for 2020; (5) have evidence of a current City of Sacramento Business Operations Tax Certificate (if required by City requirements) at the time of the loan agreement; (6) comply with the City’s non-discrimination policy; (7) be in good standing with the City of Sacramento (e.g., current on bills, no liens or judgments, etc.); and (8) demonstrate hardship, including, but not limited to a loss in revenue due to COVID-19 health restrictions.

Home-based business with 3 or more full time employees during an average week in 2019 and home-based child-care provider businesses are eligible for the program. Additionally, franchise business may apply for funds as long as the franchisee does not own more than 2 franchise businesses.

Applicants cannot be business owners that have already been awarded funding for the same business in the City’s original Small Business Economic Relief Fund COVID-19 relief loan program.

Application Deadlines (If Applicable)

Applications are currently available and must be submitted no later than July 13 at 5:00 p.m. The application can be found here.

Contact for More Information

For additional information, call the Small Business Hotline at (916) 808-7196 or smallbusiness@cityofsacramento.org.

List of Additional Information

For additional information, please click here.


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