While the state is bouncing back from the pandemic, minority-owned businesses are still reeling from the last year and a half.
A proposed $1.5 billion state COVID-19 relief package includes grant funding to get these businesses thriving once again. Businesses can apply for grants of up to $25,000.
Officials estimate the $1.5 billion in additional funds, if approved by the State Legislature, will provide grants to some 150,000 small businesses, according to reporting by the Los Angeles Times.
Past and future grants have been prioritized for businesses owned by people of color. More than 88% have gone to businesses owned by people of color, women and veterans, or those that are located in low- to moderate-income communities, said the governor.
One such business is the Le Rebelle hair salon in Oakland.
It’s been a difficult year for them.
"I can’t pay the rent," said the owner, Christopher Nguyen. While they are open now, the salon has been shuttered during much of the past year. Their landlord is now demanding they pay all of their back rent.
These grants aim to help those with similar issues.
Along with the grants, Gov. Newsom said the state will also waive several fees for new small businesses, such as alcohol beverage licenses, and provide a new $1,000 tax incentive for every new hire.
The proposed $1.5 billion brings California's total to $4 billion, the largest small business grant program in the country.
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