Promise Act Grant Program

Promise Act Grant Program

Application Closed 4:00 PM on June 24, 2024

Applications for the PROMISE Act Grant program closed at 4 p.m. on June 24, 2024. Applications submitted are currently being reviewed and notice is anticipated in August 2024 via email. All applicants will receive notice if awarded or not.


Sign up to be notified about future PROMISE Act Grant opportunities.

The Southwest Minnesota Small Business Development Center (SBDC) is proud to partner with the Southwest Initiative Foundation and Minnesota Department of Employment and Economic Development (DEED) to offer confidential and no-cost technical assistance to small businesses applying to the Promise Act Grant Program. Read on to learn more about the program and how Southwest SBDC can guide you through the application process.


Sign Up for Grant Assistant Services SWIF PROMISE Act Grants Application

WEBINAR: 2024 PROMISE ACT APPLICATION WALKTHROUGH

What is the Promise Act Program?

This program offers competitive grants to small businesses with the most competitive business applicants having experienced economic hardship in 2022 and having received less than $10,000 in COVID-19 relief funding from the State of Minnesota. Applications to the Promise Act Grant Program for businesses located in the Southwest Initiative Foundation’s service area in southwest Minnesota will be accepted through June 24, 2024. Businesses will be informed of whether they’ve received a grant in July 2024. A second round of grants is planned for 2025.

More details on the grant program can be found on the Southwest Initiative Foundation website.  Minnesota small businesses located outside of the Southwest Minnesota SBDC and SWIF's service area can be find their regional Promise Act Grant Program partner onDEED’s website.

HOW CAN Southwest MN SBDC HELP?

Businesses can also sign up for services and set up a time to meet one-on-one with a business consultant. One-on-one counseling is  offered at no charge to businesses.

Frequently Asked Questions

  • What if I didn't file 2021 or 2022 business taxes, or don't have them available for some reason?

    The most competitive applications will be able to show a 10% decrease in gross revenue or any decline in net profits in 2022 compared to 2021 by uploading their business tax returns. You may submit an application without this documentation, but your application will be ranked lower than businesses that can show this impact.

  • Are grants available for business startups or if my business started after 2021?

    The Promise Act Grant Program serves existing businesses with priority funding for businesses that experienced economic hardship in 2022 compared to 2021. We anticipate that the 2025 Promise Act Grant program will prioritize existing businesses that experienced economic hardship in 2023 compared to 2022. If your business doesn’t meet these criteria, we invite you to subscribe to our newsletter to watch for small business incentive programs that become available.

  • Are Promise Act Grants available for non-profit organizations?

    Non-profit organizations that earn 30% or more of their revenue on an ongoing basis through non-tax-deductible sales or dues in a fee-for-service model similar to for-profit businesses are eligible.

  • How is economic hardship defined?

    For the 2024 Promise Act Grant Program, economic hardship is defined as 10% decline in gross sales or any decline in net profit between 2021 and 2022 as reported on your business or non-profit tax returns.

  • If I applied for funding in 2024 but didn’t receive a grant, can I reapply in 2025?

    Yes, as long as your business meets the basic eligibility criteria, you may reapply, and your application will receive the same consideration as others in the grant round.

  • Are more recently established businesses eligible?

    The program requires that applicants have a gross annual revenue of $750,000 or less based on 2021 taxes or, if established after 2021, have revenue of $750,000 or less based on the most recent completed tax year.

  • Can I still apply if my business didn’t experience a decline in net profit or 10% Reduction in gross revenues between 2021 and 2022?

    Yes, however, your application may not score as well as others who meet or exceed this criterion.

  • If my business received more than $10,000 in combined COVID-related assistance from the state programs listed, can I still apply?

    Yes, however your application may not score as well as others who received less than $10,000 in previous assistance.

  • If my business has an active tax lien, can I still apply?

    Yes, as long as there is a payment plan in place with the Department of Revenue.

  • What if my business qualifies based on revenue level but is planned to close in the near future, can I still apply?

    No, eligible applicants are those who indicate plans to continue operating beyond January 1, 2024.

  • Where can I learn more about the Promise Act Grant Program?

    Visit the Southwest Initiative Foundation PROMISE Act Grants for more details.

  • Can a business owner apply for more than one grant?

    Technically, a business owner may apply for more than one grant if they own more than one business that qualifies for the program. For this program, a business owner is defined as someone who owns at least 20% of a business. However, the Southwest Initiative Foundation will review applications and submitted business records to ensure a business owner receives only one grant.

  • Can a business owner receive more than one grant?

    No. For this program, a business owner is defined as someone that owns at least 20% of a business. A business owner may only receive one grant, even if they own multiple businesses that qualify. If a business owner receives a grant in the spring 2024 round of funding, they will not be eligible to receive a grant in the second round of funding.

  • What if my business plans to close in the near future? Can I still apply?

    No, all applicants must indicate plans to continue operating beyond June 30, 2024.
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