Purple Line Small Business Grants

The Purple Line Small Business Grant Program is operated by the Maryland Department of Transportation to provide financial support to small businesses directly impacted by the construction of the Purple Line Light Rail. The program aims to assist businesses located along the Purple Line corridor that may experience reduced foot traffic, operational challenges, or other business disruptions due to closures or detours caused by construction activities. The grant application and program materials are available in English, Spanish, and Amharic to support the diverse communities affected.

Grants of up to $50,000 are available to eligible small businesses to help offset revenue losses and maintain business operations during construction. In addition to direct grants, the program may also fund marketing activities to help affected businesses attract customers, as well as provide broader business support services. Allowable uses of grant funds include payroll and healthcare benefits, contract labor, working capital, rent or mortgage payments, supplier payments, equipment purchases, critical operating expenses, and utility payments related to the business location. Grant payments are generally issued within thirty days after the award notification. Businesses are encouraged to register for electronic funds transfer to expedite payment processing.

To qualify, businesses must meet several eligibility requirements. They must be in good standing with the Maryland State Department of Assessments and Taxation and all federal and state taxing and licensing authorities. Businesses must have been operating at their current location along the Purple Line corridor before January 1, 2022, and they must conduct their business primarily onsite at a location within one-quarter mile of the existing or future Purple Line Light Rail tracks. The program defines a small business as one with 50 or fewer employees in the most recent fiscal year, or with average gross sales not exceeding $2 million over the last three fiscal years, or one certified in Maryland’s Small Business Reserve Program.

Grant funding is prioritized for businesses closest to significant construction impacts, especially those that have experienced or will experience such impacts within a six-month window around the application period. Additional priority is given to businesses located in designated Sustainable Communities, Priority Funding Areas, or Opportunity Zones. Some business types are excluded from eligibility, including cannabis-based businesses, pawn shops, gun shops, massage parlors, adult entertainment establishments, tanning salons, check-cashing facilities, gambling facilities, tattoo parlors, and liquor stores.

The Purple Line Small Business Grant Program officially launched in 2025 and will continue through 2028, with a total annual budget of $1 million. This funding will be split between Prince George’s County and Montgomery County, the two counties along the Purple Line route. Each year, there will be three grant application cycles. For 2025, Round 1 opens on February 10, with applications due by March 14 and awards announced on April 14. Round 2 opens May 12, with applications due June 27 and awards announced July 28. Round 3 opens September 8, with applications due October 24 and awards announced November 19.

Applicants must submit their completed applications via email to business@purplelinemd.com. The Purple Line Transit Partners, the private sector partner working with the Maryland Department of Transportation on Purple Line construction, operations, and maintenance, provides funding support for the grant program. The program builds upon the previous Purple Line Construction Zone Grant Program, which operated in 2023 and 2024 under the administration of Prince George’s and Montgomery counties.