Long Beach hopes new grant program helps boost small businesses

LONG BEACH, Calif. (KABC) -- Long Beach announced a new program that city officials hope will help small businesses and prevent more homelessness.

The city is investing nearly half a million dollars in small businesses, and in return, officials say the plan lets owners create work for locals, including homeless people.

Long Beach Mayor Rex Richardson said the program promotes economic development.

"It's in all our interest to make sure that small businesses thrive," Richardson said Tuesday.

The $450,000 isn't a loan, but it's money the city is spending or investing in small businesses to help them keep their doors open.

The city is earmarking $100,000 of the money to help business owners in a number of ways, in what's called a Visual Improvement Program, or VIP.

"Through the VIP program we're going to provide up to $1,500 for businesses that have been impacted, whether it's property damage, business operations, help pay for insurance deductibles and other issues that have impacted their businesses because of these challenges within the community," said Bo Martinez, the city's director of economic development.

Beginning Feb. 22, small business owners can begin to apply for the grants.