The city of Minneapolis on Thursday rolled out a test program to subsidize some of the accounting costs small businesses face to comply with labor rules.
With about $125,000 in pandemic-related federal stimulus funds, the city over the next few months will pay for software and professional accounting help to businesses chosen through an application process.
Mayor Jacob Frey said the funds will give a lift to small businesses that are still trying to recover from the 2020 downturn and build compliance with complex labor rules.
"We're not going back to the old normal," Frey said in an announcement event at Los Andes Latin Bistro, a recently expanded restaurant on the city's South Side. "As we recover as a city, we want to help small businesses value their workers and value their customers."
The Metropolitan Consortium of Community Developers, a nonprofit organization, will administer the application process on its website. The deadline is Jan. 20, with the first round of recipients to be selected on Jan. 27.
The assistance could turn into a regular city program if the pilot goes well, Frey and other city officials said. For businesses, the funding would be a one-time thing.
Alyshia Jackson, owner of 1st Class Cleaning Services, said she may apply for a grant to create a better payroll system for her company.
"Even if it's something that does not end up being long term, it will be a piece of education," Jackson said. "We have the craft of the service we're providing but not all of us have the craft of what it takes to run your business to meet the standards at the city, state or federal level."