New State-Funded Business Assistance Will Provide Much-Needed Relief for Struggling California Small Businesses
Statement by Mark Herbert, Vice President, California for Small Business Majority, on today’s announcement by Governor Gavin Newsom that California will invest in new grant and loan funds for small businesses impacted by COVID-19
“We’re thrilled that Gov. Gavin Newsom announced a robust investment in small businesses impacted by the ongoing COVID-19 pandemic. This investment—which includes $500 million in grants, temporary tax relief and additional funds for the new California Rebuilding Fund—will provide much-needed relief to small businesses that desperately need help to keep their doors open and their employees on payroll.
This announcement couldn’t have come at a more critical time as small businesses in California face new challenges stemming from a loss in consumer confidence and local health ordinances during what’s typically their busy season. More than 1 in 3 small businesses in our network, including 41% of Black and Latino-owned businesses, report they will be forced to permanently close their businesses without additional relief. This is why we are particularly glad to see the investment in a grant relief program, which we’ve been calling for since the beginning of this crisis in order to better support the most vulnerable small businesses and those owned by people of color, immigrants, and women who have been left behind by federal emergency loan programs.
With the lack of action on a stimulus package from Capitol Hill and the White House, our job creators are looking to their local and state leaders to act in their best interests. We applaud California for taking this important step to help our state’s small businesses weather the storm until more federal relief arrives, and we look forward to educating our network about this new assistance.”
About Small Business Majority
Small Business Majority is a national small business organization that empowers America's diverse entrepreneurs to build a thriving and inclusive economy. We engage our network of more than 70,000 small businesses and 1,000 business and community organizations to advocate for public policy solutions and deliver resources to entrepreneurs that promote equitable small business growth. Our deep connections with the small business community along with our scientific research enable us to educate the public about key issues impacting America’s entrepreneurs, with a special focus on advancing the smallest businesses and those facing systemic inequalities. Learn more about us on our website and follow us on Twitter, Facebook and Instagram.