Need Working Capital? State and Local Governments Provide Relief


Cannabis businesses with COVID-related losses, and no access to federal relief funds, may need financial help to get through the pandemic. State and local COVID-19 relief programs could be a good place to start. Many state and local governments are amping up alternative sources of low-cost loans and grants to help local businesses cover expenses such as rent and payroll. Other benefits include tax relief and moratoriums on commercial evictions. The goal is to keep local businesses open and employees working.

See our summary of available COVID-19 working capital relief programs in California, Illinois, Maryland, Massachusetts, Michigan, Nevada, Oregon, Pennsylvania, and Washington.


Alternative Funding Sources:

California Executive Order for Small Businesses; California Capital Access Program (CalCap); IBANK; San Francisco Small Business Resiliency Fund; Sacramento COVID-19 Relief Fund; Los Angeles Small Business Relief Fund; San Diego Small Business Relief Fund; Santa Ana Small Business Incentive Program Grant

  • CalCap provides loans to businesses that are not able to locate financing. The program helps local communities to obtain financing for local businesses that create jobs.

  • California IBank provides funding that supports infrastructure and economic development.

  • San Francisco is offering offered $10,000 to pay employees and rent. The application period is now closed.

  • Sacramento provided local businesses with small loans from $1 million fund. The city is no longer accepting applications. However, Sacramento will reopen the application window if additional funding becomes available. Sacramento also adopted an ordinance that places a temporary moratorium on the eviction of commercial tenants.

  • Los Angeles established an $11 million relief small business program that will provide no-fee microloans ranging from $5,000 to $20,000. The interest rate charged depends on the repayment period.

  • San Diego created a $6.1 million relief fund that will provide loans of $10,000 to $20,000 to local businesses. Cannabis businesses may not be eligible as the city will not loan money to “[b]usinesses engaged in any illegal activity per local, state or federal regulations with federal regulations taking precedence over local or state regulations.”

  • Santa Ana, CA is providing a $5,000 grant to businesses with 5 or fewer employees. The city has halted all evictions and foreclosures for commercial businesses

Other Relief:

  • Tax Relief for all businesses including an extension to file 2019 California tax returns certain payments until July 15, 2020 for all tax filings and payments due between March 15, 2020, through July 15, 2020.

  • Check your local county and city websites to see if commercial evictions are temporarily prohibited.


Small Business COVID-19 Relief Program

  • The state is depositing funds in local financial institutions at a near-zero interest rate, and working with local financial institutions to provide low-interest loans. The funds can be used by qualified financial institutions to provide working capital to small businesses and non-profit organizations. Eligible businesses must be shut down due to COVID-19 and be headquartered in Illinois or agree to use the funds in Illinois.


Maryland Small Business COVID-19 Emergency Relief Grant Fund

  • Maryland established a $50M Grant Fund that provides up to $10,000 for employers with less than 50 employees to pay for operating expenses. The working capital can be used to pay employees, rent, mortgage payments or other qualifying expenses.


 Massachusetts Growth Capital Corporation

  • Due to the availability of EIDL funds, we are no longer accepting applications to the Small Business Recovery Loan Fund at MGCC as of 12:30PM on March 19th, 2020


Michigan Small Business Relief Program

  • Tax filing and payment relief.

  • $20 million in grants and loans for Michigan businesses

  • The Michigan Small Business Relief Program authorizes the MEDC to provide up to $10 million in grant funding and $10 million in low-interest loans to provide emergency relief to businesses directly impacted by COVID-19.


Oregon Capital Access; Program Oregon Business Development Fund; Community Development Financial Institutions Fund

  • Alternative financing resources that provide working capital at low-interest rates to Oregon businesses that create jobs.


  • Nevada is currently relying on the SBA and CARES to provide small businesses with emergency loans.

  • Nevada implemented a temporary moratorium on commercial evictions.


Pennsylvania Industrial Development Authority (PIDA); COVID-19 Working Capital Access Program; Montgomery County COVID-19 Working Capital Access Program

  • The COVID-19 Working Capital Access Program provides up to $100,000 in zero or near-zero working capital loans to Pennsylvania companies with less than 100 employees worldwide.

  • Available PIDA funds totaled $61 million as of March 23, 2020. PIDA provides low-interest loans for land development, equipment acquisition, and working capital. The funds must be used to support Pennsylvania businesses that create jobs in the state.

  • Montgomery County, PA is offering low-interest loans for local businesses.


COVID-19 Resources for Washington Businesses; City of Tacoma COVID-19 Stabilization Loan

  • The state is compiling a list of local banks, financial associations, telecoms, utilities and major employers that are offering relief in the form of deferred billing, no-interest loans, debt relief or forgiveness, and favorable credit terms.

  • The City of Tacoma is offering $15,000 loans to businesses with less than 10 employees.

%d bloggers like this: