Maryland COVID-19 Emergency Relief Grant Fund for 501(c)(6) Nonprofits Details

Instructions

Review the steps - read carefully

1. Grants up to $10,000 not to exceed 3 months of cash operating expenses for Maryland 501(c)(6) Nonprofits impacted by the COVID-19 with 50 or fewer employees.

2. Must be established prior to March 9, 2020.

3. Organizations must be registered and provide a certificate of Good Standing with SDAT.

4. Applicants must have employees on their payroll for whom they have had payroll taxes withheld (i.e. W-2 employees).

5. Annual revenues of the nonprofit not to exceed $5 million as evidenced by Financial Statement or other financial documentation.

6. Nonprofit is expected to seek longer term funding through its bank, SBA, or other source.

7. Eligible uses include: working capital to support payroll expenses, rent, mortgage payments, utility expenses, or other similar expenses that occur in the ordinary course of operations.

8. The nonprofit must demonstrate financial stress or disrupted operations, which may include but are not limited to:

   • Notices from tenants closing operations and not paying rent caused by loss of income.
   • Notice of inability to make loan payments due to reduced sales, suspended operations.
   • Increased cost related to COVID-19 prevention measures.
   • Notice of disrupted supply network leading to shortage of critical inventory or materials.
   • Other circumstances subject to review on a case by case basis.

9. Nonprofit must be registered with the IRS as a 501(c)(6) and provide a letter from the IRS confirming 501(c)(6) status.

10. Nonprofit must provide a list of specific expense items such as rent, fixed debt payments (p+i), payroll expenses, other taxes and fees, utilities, equipment repairs, supplies, and other cash expenses.

11. Nonprofit must provide 2019 Federal Tax Return or 2019 Profit and Loss/Income Statement prepared in house or by a CPA AND most recent Profit and Loss/Income Statement (January - June 2020).

12. Eligible applicants must be a Maryland based organization that represent businesses in the region they serve, which may include employer consortiums comprised of businesses who collectively meet the above qualifications, such as: Non-profit or community-based organizations; Industry Associations; Business Leagues; Destination Marketing Organizations; and Local or Regional Economic Development Entities.

13. Nonprofit must provide a narrative of what the organization is doing to support their members to mitigate the impact of COVID-19. If there is no loss of income because membership dues were already paid, the applicant must provide evidence of support/increased expenses directly related to COVID-19.

14. Nonprofit must not have already received a grant from any Maryland state government agencies for COVID-19 relief.