On March 24, 2020, the Government of the State of Jalisco, through the Ministry of Governance, published the creation of the "COVID-19 Jalisco Plan" (the Plan), which aims to avoiding the loss of formal employment generated by micro and small businesses, by providing financial support to people and companies affected by preventive and containment measures, resulting from the COVID-19 Pandemic. Subsequently, on March 25, 2020, the guidelines and rules for granting of the diverse economic incentives of the Plan were published.
The Plan, consists of an economic support package of $1,000,000,000.00 Pesos, destined to support the following sectors:
(a) $400'000,000.00 Pesos to people with informal economic activities, or under self-or sub-employment, to be regulated by the, to be administered by the Ministry of Labor and Social Security;
(b) $450'000,000.00 Pesos to micro and small businesses, so that they can keep the jobs of their workers, to be administered by the Ministry of Economic Development; and
(c) $150'000,000.00 Pesos to protect the income of corn producers, as part of the food security strategy, to be administered by the Ministry of Agriculture and Rural Development.
With respect to the financial support that will be granted to Micro and Small Businesses, the Ministry of Economic Development, through the State Council for Economic Promotion, published the following guidelines and rules.
The potential beneficiaries of financial support are those micro and small businesses established in the State of Jalisco, with between 1 and a maximum of 15 employees registered with the Mexican Social Security Institute (IMSS).
Financial support will consist of a loan at a rate of 0% interest, which should be used only to guarantee the payment of wages of workers registered with IMSS.
The financial support amounts will be of $10,000.00 Pesos, for each worker registered with the IMSS, the maximum amount being $150,000.00 Pesos per company, for a single occasion during the first month upon request, with possibility for an extension during the subsequent month (subject to approval), in case of proving that the workforce has not been reduced.
For repayment of the financial support, the selected companies will have a grace period of 6 months, followed by 18 monthly amortizations until the total liquidation of the funds received.
To register and request the financial support, an electronic portal has been enabled, where micro and small businesses can send their documentation and process their request. All results will be sent electronically.
We will be happy assist with this process, and to answer any questions.