FAQ | Revive Dallas Fund

What is the Revive Dallas Small Business Relief Fund?

The Dallas Entrepreneur Center Network (DEC) in collaboration with the private business community and LiftFund is launching Revive Dallas Small Business Relief Fund at the Communities Foundation of Texas. The Revive Dallas Small Business Relief Fund is a City of Dallas focused relief fund provided by the private business community in North Texas. This fund was created to support small business entrepreneurs who are in jeopardy of not surviving in the age of coronavirus, with a priority on providing funding to the minority and women owned small businesses who have been unable to find the suitable funding to get them through the COVID-19 pandemic. The Communities Foundation of Texas will serve as the fiscal sponsor for this fund and LiftFund, is the CDFI partner that will be administering the loan application and approval process.

This is a zero percent (0%) loan fund that is forgivable upon meeting a few key milestones that will help your business move forward. Loans will granted up to $25,000 and will be combined with a special set of non-monetary resources including access to free mentors, information about other funding opportunities and other important resources that small businesses can leverage to help build, grow, and revive their businesses.

This initiative has already received endorsements from Dallas Regional Chamber, Dallas Citizens Council, Downtown Dallas Inc., Visit Dallas, North Dallas Chamber of Commerce, and City of Dallas.

Who is this fund for?

We are focusing on supporting entrepreneurs and small businesses owners who have 15 employees or less and less than $1.5 million in annual revenues. A majority of the recipients will be minority and women owned businesses. Anyone that meets all of the requirements will be eligible to apply for the Revive Dallas Small Business Relief Fund.

What are the criteria for small businesses to be applicable for the fund?

Firm must have 15 employees or less AND demonstrates a loss of at least 15% of revenue in the period beginning March 1, 2020 due to the COVID-19 crisis
Annual gross revenues of not more than $1.5 million from all business activities in 2019
Business must be in operation as of August, 1, 2019
Documentation of registration with Secretary of State and/or County DBA based on business legal formation
Must be in good standing with creditors for at least six months prior to the COVID-19 crisis. NOTE: If the applicant has credit issues due to COVID19 they need to share that information, otherwise you will be disqualified from being eligible for funding.
Loans are limited to businesses that are in the City of Dallas and will reopen in same location
Non-profits are not eligible.
Home based business are eligible
Business financial information must be verified through one or more of the following:
- Applicable 2019 tax information based on business formation
- MWBE Certification is not necessary, but applicant must be prepared to submit some documentation
- Documentation demonstrating a 15% loss or greater of income since March 1, 2020 due to COVID19
  - profit and loss statement from previous year and YTD,
  - 90 days of business bank statements

Is there a checklist of documents and information we need to compile for response to the application and make sure we are submitting necessary documents to receive fund?

Yes, Here is a checklist that you can download that will give your a list of all of the documents you will need and information you need to include to be eligible for receiving awards from this fund.

LiftFund Revive Dallas Small Business Relief Fund (English)

LiftFund Revive Dallas Small Business Relief Fund (Spanish)

Where do I go to apply for the fund?

www.revivedallasfund.com

How much money is available through this fund?

Loans through this program will be up to $25,000

How does the application process work?

You will go to www.revivedallasfund.com and fill out the pre-qualification questionnaire. After filling out the questionnaire you will be alerted if you are eligible for the fund. If you are eligible you will be placed into a waiting area and you will be emailed and notified of when the official fund is open. You will have one week to finalize your application and then the recipients will be pulled from a lottery process and evaluated to see how will get the funding. Both small businesses that are eligible and who are not eligible will be given access to the Fast Start Mentor Program and the Let’s Grow North Texas Business website where you can get resources to help your business survive during the age of coronavirus.

How can I get my loan forgiven?

Eligible applicants will have the ability to have their loans forgiven if they meet a few key milestones. Applicants need to fulfill 3 out of 5 milestones to have these funds forgiven. These include:

Joining the Fast Start Mentor Program or other regional mentor program, meet at least 3 times following your fund date
Submit a 2020-2021 budget forecast
Submit a condensed business plan with a Use of Funds document
Completion and filing of 2019 tax return

How do I know if I am a good fit for a loan?

Take the LiftFund Quiz to see if you are a good fit for the loan

https://www.liftfund.com/resources/entrepreneur-index/

Here is an overview of the fund including the details, the criteria and information on how to get the loan forgiven.

(Revive Dallas Small Business Relief Fund) (download PDF of the information)

When are applications due?

The pre-qualification phase is open now until September 7th and official applications will open September 8th and close September 14th.

Is there a maximum business size?

Businesses with more than 15 employees are not eligible. Businesses with annual revenues greater than $1.5 million are not eligible.

How do businesses demonstrate a minimum of 15% financial loss related to the covid-19 pandemic?

Businesses may submit annual gross revenue statements from previous years (2018 and 2019). Businesses will need to provide supporting documentation such as tax returns and supporting schedules and/or financial statements (audited and unaudited financial statements will be accepted). Monthly income statements for 2019 may also be required to assess month-to-month performance of the business. Businesses will also need to supply monthly financial statements or sales and use receipts for the last three months of business (ie. May, April, March) and even earlier if appropriate of 2020.

How will qualified applicants be selected?

Businesses who submitted funding for loan funding will be grouped into two categories: those who are minority and/women owned businesses and everyone else. This fund has a requirement that 51% of all funds will go to minority and/or women owned businesses. The loan program is available for businesses City-wide. Applicants will go through a lottery process to be selected for potential funding.

How are 1099 contractors or self-employed candidates treated?

Self-employed candidates or 1099 contractors that own the business may be eligible for this funding if other eligibility requirements are met. This includes income requirements, registration with the state or country, documented proof of financial loss, and revenue and tax statements from the previous year. Home based businesses must have all the required documentation (EIN, permits, incorporation documents, licenses, etc.) on the Federal, State, and local level to participate in the RDSMRF. Because the program goals are to create and/or retain jobs, you need to demonstrate you have direct employees for this program unless you are a sole-proprietor. Paying people as a contractor (i.e. as documented through a 1099-misc) does not meet employment goals.

What kind of documentation is required?

Required documents include W-9, documents supporting number of employees and payroll (like a IRS 941 form), documentation demonstrating a 15% loss or greater of income since March 2020, registration with Secretary of State or with Dallas County, profit and loss statement from previous year, and tax statements from previous year, including sales and use tax. The financial statements/information will be presented directly to the program administrator.

Since this is a loan fund, will my credit report be run to determine quality of credit?

Yes, if you apply for this fund, the LiftFund will run a credit check on your business to help determine if you are eligible and applicable based on the requirements of this fund.

NOTE: If the applicant has credit issues due to COVID19 they need to share that information, otherwise you will be disqualified from being eligible for funding.

If I owe the IRS taxes, am I eligible?

A company with delinquent federal taxes is not eligible unless they have a documented payment plan with the Internal Revenue Service (IRS).

If I’ve applied for other federal funding, am I able to apply for this funding?

Yes, you may apply for this funding if you’ve applied for SBA funding. However, you may NOT use these funds to cover expenses that you have received other federal funding for and funding may be reduced if you are able to get assistance from other sources including state or federal disaster relief.

How much money could businesses receive?

Loans will be awarded in the maximum amount of $25,000.

What can the loan be used for?

Loan funds may only be used for the operating expenses of the awarded business. The operating expenses are defined as the day-to-day trading operations of the business. Loan amounts are sized based on payroll, rent, utilities and inventory expenses, and is the lessor of $25,000

How do we know the businesses selected are actually eligible to receive funding?

After a business is selected in the lottery, the Liftfund, our third party administrator will verify eligibility and collect documentation. Being selected in the lottery is not a guarantee of funding; the other criteria for funding needs to be met. During this process, staff will reach out to each selected business owner, confirm documentation.

How is this fund paid for?

This is a unique fund in that different from other funds like the PPP or SBA Disaster Relief Fund or the City of Dallas Small Business Continuty Fund, this fund is being fully provided by the business community, philanthropists, and individuals across North Texas that recognize the importance of their leadership to support and fund the life blood of our North Texas economy, small businesses and startup organizations.