What is Arlington’s definition of a technology company per Arlington County Code Chapter 66-3?
For purposes of the Catalyst Grant, Chapter 66-3 (A) of the Arlington County code defines a technology company as “a business with its primary source of gross receipts derived from the sale, licensure or distribution of proprietary technology.”
Can my company be awarded the Catalyst Grant more than once?
No. The following program can only be utilized by a company one time.
I have a startup but am not working full-time on the venture. Do I qualify for the program?
No. A minimum qualification for the program is that the company have at least one full-time employee to be considered.
I am a full-time employee of my startup but am a home-based business. Do I meet the initial requirements?
Yes. Home-based technology startups will be considered for this program given the home address is based in Arlington County, the business is an LLC, S-Corp or C-Corp with the Virginia State Corporation Commission, and meets the Arlington County Code definition of a technology company. Other minimum qualifications apply.
My company has business debt that it would like to pay off. Can we use grant funds towards paying off business debt?
No. Funds may not be used for creating liquidity for founders, retiring outstanding debt, and/or any expenses not associated with the business. Any misuse of funds will result in a full repayment of the grant to Arlington County. Additionally, that company will be barred from future consideration of all incentive programs offered by Arlington County.
Can Arlington County claw back the grant from a company?
Yes. There are scenarios when Arlington County would claw back the payment, including:
- Misuse of grant funds for non-business operation expenses
- Failure to complete SBDC’s ICAP 2.5 week introductory course
- Failure to check in with AED staff at required check-ins
- Failure to maintain the company’s principal office address in Arlington for a two-year performance period
I have completed a course or accelerator program similar to SBDC’s ICAP 2.5 week introductory course. Can a waiver be considered for the program(s) I have already completed?
Yes. Arlington Economic Development will consider waivers of other courses or accelerator programs that provide similar content to SBDC’s ICAP 2.5 week introductory course. The founder will need to sign a waiver form confirming participation and provide documentation that the course or accelerator program was completed by the founder.
What forms of capital qualify for the $25,000 up to $500,000 funding requirement?
There are several forms of capital that qualify towards the funding requirement, including:
- Early-stage venture capital
- Institutional investment
- Angel investment
- Friends and family
- Personal investment
- Convertible debt
- Venture debt
- SAFE notes
- Accelerator and incubator grants
- Other grants