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Small Business Restart Grant

Restart Grant

In April 2021, Indiana announced an expansion of the Indiana Small Business Restart Grant to help accelerate economic recovery activity by supporting Hoosier entrepreneurs and small businesses. The program provides working capital to eligible companies by reimbursing certain expenses incurred during and related to the global pandemic.

Please read through all grant details, eligibility requirements and frequently asked questions below before applying.

Grant Details

  • Small businesses that meet the eligibility requirements can apply for reimbursement for qualified business expenses incurred between March 1, 2020 and October 31, 2021 (“eligibility period”). 
  • Reimbursements for expenses and sole proprietor Net Profit reductions (see below) may be awarded up to $10,000 for each month during the eligibility period. However, reimbursements may not exceed $100,000 in aggregate.
  • Businesses that have already received Small Business Restart Grants - but have not reached the maximum reimbursements noted above - may re-apply during this expanded program period. Expenses that were already reimbursed through this program will not again be considered eligible expenses.
  • Eligible businesses may apply for grant funding to cover qualified expenses incurred at their Indiana operations, such as payroll, insurance premiums, rent or mortgage payments, utilities, lease payments, and safety investments. These expenses may be reimbursed up to 80% for non-payroll expenses and up to 100% for payroll expenses.
  • Effective September 20, 2021, sole proprietors are eligible to be reimbursed for reductions in Net Profit, with Net Profit (Form 1040, Schedule C, Line 31) reductions being determined by comparing 2019 Net Profit/number of months in operation in 2019 to 2020 Net Profit/12 months and to 2021 Net Profits per monthly sole proprietor Profit & Loss Statements. Sole proprietors may resubmit Small Business Restart Grant requests for the eligibility period.
  • The program may give preference to Hoosier small businesses in the hospitality industry, but all eligible businesses are encouraged to apply.
  • The deadline for applying is November 15, 2021. Eligible small businesses are encouraged to apply and submit expenses for reimbursement as soon as possible; grants will be issued in the order in which applications are received until funding is exhausted or until the program expires.

Eligibility Requirements

Registered Indiana businesses must:

  • Have been established prior to October 1, 2019.
  • Be registered to operate in Indiana, except sole proprietors, and must be seeking reimbursement for expenses related only to their Indiana operations.
  • Be in good standing with the Indiana Department of Revenue or have entered into a payment plan approved by the Indiana Department of Revenue.
  • Have had fewer than 100 full time employees as of December 31, 2019.
  • Have been profitable and have had less than $10 million in revenue (Gross Receipts or Sales) in 2019; profitability is determined by EBITDA.
  • Demonstrate a monthly gross revenue loss during the eligibility period of at least 30% compared to pre-COVID 2019 average monthly gross revenue; with 2019 gross revenue calculated as 2019 Gross Receipts or Sales/number of months in operation in 2019.
  • Please Note: Non-owner occupied businesses are not eligible.

Eligible Reimbursable Categories

  • May be reimbursed up to 100%: Payroll
  • Sole proprietor net profit reduction

May be reimbursed up to 80%:

  • Insurance premiums
  • Rent or mortgage payments
  • Lease payments for real or personal property
  • Utilities
  • Safety investments
  • Food delivery software service payments

Please Note: Expenses covered by another federal grant program such as PPP, EIDL, Restaurant Revitalization, or from a local government entity (CDBG) may not also be reimbursed by this grant. 

Application

Small businesses will need to gather the following documentation to apply. You will upload these documents in the application.

Please note the application has a file size limit: you may submit up to 10 files with a 30-megabyte max. Please logically combine documentation into one upload when possible. If possible, please upload your documents in a lower quality to avoid the size limit error.

To document eligibility:
Registered, small Indiana business in good standing
  • Federal Employer Identification Number
  • 2019 Federal Tax Returns (or Federal Form 1040 with all Schedules if sole proprietorship or home-based business)
  • Copy of current valid driver's license or other U.S.-issued valid ID
  • Current W9 - Click here for a fillable W9
  • All signed documents (federal loan/grant agreements) if you have received funding from other federal assistance programs.
Profit Loss
Once eligible, to submit expenses for reimbursement:
Expense Documentation Required
Payroll
  • Proof of payroll expenses for wages paid to W2 employees only
  • 900 series payroll forms
Insurance premiums
  • Proof of insurance premium payment   
  • Certificate of Insurance (COI)    
Rent, lease or mortgage payments
  • Copy of mortgage, rental or lease agreement(s)
  • Proof of mortgage, rental or lease payments for real or personal property
Utilities
  • Copy of utility bills or billing statements
Safety purchases and improvements
  • Receipt of purchases and/or improvements made to increase safety. This may include personal protective equipment (PPE) and infrastructure improvements related to the health and safety of employees and/or customers.
Food delivery software services
  • Proof of restaurant delivery software expenses, including but not limited to: GrubHub, DoorDash, Uber Eats, Shopify, etc.

Questions?

Before you apply

If you have questions about completing an application or compiling the required documents, contact the nearest Indiana Small Business Development Center (SBDC) office or call 888.472.3244.

Please note the Indiana SBDC can only assist you before you apply to help you gather the required documentation.

Watch the video below to help you complete the application:

After you apply

  • If you have questions about your application status or need to submit additional documents, please email insmallbizrestart@iedc.in.gov.
  • During the review process, applications may be missing information that is required to continue with the review. Applicants will receive an email they can respond to with the necessary materials from an email address with the following format: sbrelief.programadviser106@wherespeedmatters.com     
  • If your documents exceed the file size limit to upload and you checked the box that you were unable to upload everything, you will receive an email you can respond to with the remaining files from an email with the following format: sbrelief.programadviser106@wherespeedmatters.com
  • If you checked the box to receive a confirmation email, you’ll receive an email from Smartsheets confirming receipt of the application.
  • If you never received a confirmation email, please email insmallbizrestart@iedc.in.gov to confirm application submission.
  • If you have questions about your application or need additional information, email insmallbizrestart@iedc.in.gov
  • If you receive a grant, you will receive an email from indianarelief@gener8tor.com noting that payment is being processed.

Please check your email frequently and be sure to check your spam folder and/or add these emails to your contacts to ensure you receive communications.

Frequently Asked Questions

  • Program Overview

    Q: Is this program different from the Small Business Restart Grant that was open between June 2020-January 22, 2021?
    A: This program is an extension of the initial Small Business Restart Grant, which first launched in June 2020. At that time, Indiana Governor Holcomb approved program funding with federal dollars made available through the CARES Act. 

    Previously, the Small Business Restart Grant was able to reimburse certain expenses incurred between March-December 2020. With this program now expanded - as of April 22, 2021- eligible small businesses may seek reimbursement for expenses incurred between March 2020 – October 31, 2021.  

    Q: How is the program funded?;
    A: The program is funded by federal dollars made available through the CARES Act. In April 2021, the state expanded the program, adding another $60 million in federal dollars made available through the CARES Act and approved for allocation by the Indiana General Assembly.

    Q: If I’ve already received funding through the first round of the Small Business Restart Grant program, can I apply again? 
    A: Yes, businesses that received funding through the first round of the Restart program can also apply through this expanded program. Reimbursements for expenses may be awarded. The same reimbursement maximums apply (up to $10,000 for each month during the eligibility period of March 1, 2020 - October 31, 2021) and businesses may not receive more than $100,000 in aggregate. In addition, previously covered expenses are not eligible for additional reimbursement.  

    Q: If I received funding through the first round of the Small Business Restart program and I apply again, do I have to submit all of my information again?
    A: Yes, please submit a new application for the second round of the Small Business Restart Grant.

    Q: If I receive a grant, are the funds taxable?        
    A: Yes, grant funds are considered taxable income. Applicants must submit a current W9 with their application documents, and Indiana Relief, an IEDC third-party disbursement partner, will send IRS Form 1099 to companies receiving grant funds over $600.

  • Eligibility

    Q: Are nonprofit organizations eligible for Restart Grants?
    A: No, nonprofit organizations are not eligible for Small Business Restart Grants.

    Q: Are small businesses without an Indiana Secretary of State identification number, such as sole proprietors, eligible for Restart grants?
    A: Yes, these entities may apply for Restart grants provided they meet the eligibility requirements and can provide certification documentation as requested. Small businesses without an Indiana Secretary of State identification number should apply using an Employer Identification Number (EIN). If you do not have one, you may apply for one online: https://www.irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online.

    Q: What does it mean to be ‘in good standing’ with the Indiana Department of Revenue?
    A: Businesses in good standing with the Indiana Department of Revenue do not have an outstanding or delinquent tax liability with the state.

    Q. If I received a grant from another federal grant program, are those expenses eligible for a Restart Grant?
    A. Expenses covered by another federal grant program such as PPP, EIDL, Restaurant Revitalization or from a local government entity (CDBG) may not also be reimbursed by this grant. 

  • Application

    Q: Where do I find my Indiana Secretary of State identification number?
    A: Please visit INBiz.in.gov, Indiana’s one-stop resource for registering and managing your business or to locate your identification number: https://bsd.sos.in.gov/publicbusinesssearch.

    Q: I applied. What happens next?

    • If you checked the box to receive a confirmation email, you’ll receive an email from Smartsheets confirming receipt of the application. 
    • If you never received a confirmation email, please email insmallbizrestart@iedc.in.gov to confirm application submission.
    • If you have questions about your application or need additional information, email insmallbizrestart@iedc.in.gov.
    • If additional information is needed, you will receive an email with the following format: sbrelief.programadviser106@wherespeedmatters.com.
    • If you receive a grant, you will receive an email from indianarelief@gener8tor.com noting that payment is being processed.

    Please check your email frequently and be sure to check your spam folder and/or add these emails to your contacts to ensure you receive communications.

    All applications for Small Business Restart Grants will be reviewed and verified by representatives of the Indiana Economic Development Corporation.

    Q: How long will it take to be approved?
    A: We plan to review applications and notify applicants of their grant award status (approval or denial) within 2-3 weeks of receiving the completed application and required documentation. Please note that the timeline may fluctuate and that the review process is expected to be longer based on anticipated demand.

    Q: My business was approved for a grant. What happens next?
    A: After your Small Business Restart Grant is approved, it will move to processing, and you will be asked to choose whether you want your grant to be issued via wire or check. Our goal is to have Indiana Relief, an IEDC third-party disbursement partner, send funds within 3-5 days of receiving your executed grant agreement, but please understand that timing may fluctuate based on current capacity.

  • Documentation

    Q: I have not yet filed taxes yet for 2019. Can I utilize a 2018 Federal Tax Return instead?
    A: No. Eligibility criteria for grants is, among other things, based on 2019 Gross Receipts and Sales revenues and EBITDA positive figure, so businesses must be able to demonstrate 2019 figures. Sole proprietor or home-based businesses must submit their full IRS 1040 along with all schedules.

    Q: My type of business entity does not submit State of Indiana Tax Returns (i.e., Sole Proprietor). Can I utilize a personal tax return instead?
    A: Yes, personal tax returns may be used as verification so long as it captures your business revenue.

    Q: How many months’ worth of expense documentation (i.e. paid mortgage statements, utility bills, lease payments for real or personal property) do I need to submit?
    A: Small businesses may be reimbursed for eligible expenses incurred between March 1, 2020 – October 31, 2021, and documentation of such expenses will need to be submitted for each month in which the business is seeking reimbursement.

    Q: I don’t have access to some of the required documentation and/or I need help gathering required documentation for the application. Who can help?
    A: Please contact the Indiana Small Business Development Center (SBDC) nearest to you to meet with an advisor at no cost or call 888.472.3244.
     

Apply Here

For more small business resources and funding options, visit the Indiana Small Business Development Center.
 

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