Debts Required for Small Business Grants
Small businesses seeking the Virgin Islands government's grant programme will generally need to be in good financial standing or have approved payment plans with statutory agencies. Ministers say outright debt forgiveness is not available, but businesses with agreed arrangements may still be considered by the grant evaluation committee.
The Virgin Islands government has clarified that small businesses applying for the Department of Trade, Investment Promotion and Consumer Affairs' grant programme will generally need to have their statutory debts addressed, though approved payment plans could preserve eligibility.
Deputy Trade Minister Lorna Smith and Deputy Director of Trade Dr Lincoln Bobb made the remarks during a recent appearance on the Talking Points radio programme hosted by Damion Grange. The officials were responding to concerns that many micro and small businesses are not in "good standing" because of unpaid taxes or social security contributions and asked whether debt forgiveness would be used to widen access to grants.
Smith said the government is sympathetic to the pressures facing small operators but that outright debt write-offs are not on the table. She told listeners that businesses in arrears should approach Inland Revenue or the Social Security Board to arrange repayment schedules. "I don't think that they would forgive the debt, so to speak, but you should pay it as you can," she said.
Both Smith and Dr Bobb said approved payment arrangements with statutory bodies will be considered during the grant assessment process. Dr Bobb noted that the department recognises many applicants will already be financially strained and affirmed that approved plans can be taken into account when the grant evaluation committee makes its decisions.
The small business grant initiative is targeted at micro, small and medium-sized enterprises and has eligibility requirements including local registration, a valid trade licence and being in good standing with statutory obligations. The government's clarification aims to balance fiscal responsibility with practical support for businesses still recovering from high operating costs, inflationary pressures and cash-flow challenges.
For BVI business owners, the key steps are clear: ensure local registration and a current trade licence, contact Inland Revenue and the Social Security Board to agree payment plans if you have arrears, and prepare documentation of any agreements when applying for the grant. Final awards will be determined by the grant evaluation committee, which will weigh each applicant's circumstances and repayment arrangements.
Critics continue to argue that more substantive relief may be needed to fully stabilise the small business sector. For now, the government is signalling assistance is available, but that it will require accountability and formal arrangements to manage outstanding debts.
Primary source: BVI News