- 504 Certified Development Loan Program: The “504” program provides long-term, fixed-rate financing to small businesses to acquire real estate or capital machinery and equipment to expand or modernize. Typically at least 10 percent of the project is provided by the borrower, at least 50 percent under a commercial loan by a lender, and the remainder provided by an SBA-guaranteed debenture. The maximum SBA debenture is generally $1 million. This program is delivered through Certified Development Companies (private, nonprofit corporations established to contribute to the economic development of their communities or regions). Contact the SBA’s Colorado District office at (303) 844-2607 for more information.
- Patriot Express: Eligible small business must be owned and controlled (51 percent or more) by one or more of the following groups: veteran active duty military, reservist or National Guard member or a spouse of any of these groups or a widowed spouse of a service member or veteran who dies of a service-connected disability.
- Small/Rural Lender Advantage (SRLA) This program is for rural areas currently in Colorado, Utah, Wyoming, Montanta, North and South Dakota. SBA guaranteed loans of $350,000 or less for a variety of projects, from startup businesses or businesses that need facilities and equipment to expand. Contact SBA's Colorado District Office at 303-844-2607 for more information.
- Low Documentation Loan (SBA LowDoc), a 7(a) Loan Program: This loan guaranty program reduces the paperwork involved in loan requests of $150,000 or less. The SBA uses a one-page application for SBALowDoc that relies on the strength of the applicant’s character and credit history. Once an applicant satisfies all of the lender’s requirements, the lender may request an SBALowDoc guaranty from the SBA. Contact a commercial lender for more information on this loan guaranty program.
- SBAExpress, a 7(a) Loan Program: This program encourages lenders to make more small loans to small businesses. Participating banks use their own documentation and procedures to approve, service and liquidate loans of up to $250,000. In return, the SBA agrees to guarantee up to 50 percent of the loan.
- CAPLines, a 7(a) Loan Program: This program finances the short-term and cyclical working-capital needs of small businesses. Under CapLines, there are five distinct short-term working-capital loans: seasonal, contract, builders, standard asset-based and small asset-based lines. for the most part, the SBA regulations governing the 7(a) Loan guaranty program also apply to CapLines. The SBa generally guarantees up to a maximum of $1.0 million under the program.
- Export Working Capital Program (EWCP), a 7(a) Loan Program: This program enables the SBA to guarantee up to 90 percent of a secured loan, or $1 million whichever is less. Loan maturity may be for up to three years with annual renewals. Loans may be for single or multiple export sales and may be for pre-shipment working capital, post-shipment exposure coverage or a combination of the two. Proceeds may only be used to finance export transactions. This program targets export-ready small businesses. Contact the SBA at (303) 844- 2607 for more information.
- International Trade Loan (ITL), a 7(a) Loan Program: This program offers longterm financing to small businesses engaged or preparing to engage in exporting, as well as to small businesses adversely affected by import competition. The SBA may guarantee up to $1.25 million for a combination of fixed-asset financing and working capital. The working capital portion cannot exceed $750,000. Contact the SBA at (303) 844-6622for more information.
- SBA Export Express, a 7(a) Loan Program: Small business exporters may now obtain loans of up to $250,000 through the lender-expedited SBAExpress program, with SBA guaranteeing 75-85% of the loan amount. Loan proceeds may be used for buildings, equipment, other fixed assets, foreign trade show costs, translating company literature, export transaction costs, or other working capital needs. Applicants must have been in business for a least one year and must demonstrate that the loan will help the firm enter a new export market or expand in an existing export market. Contact the SBA at (303) 844.6622 x 18 for more information.
- MicroLoan Program: This program provides short-term loans of up to $35,000 to small businesses for working capital or the purchase of inventory, supplies, furniture, fixtures, machinery and/or equipment. proceeds cannot be used to pay existing debts or to purchase real estate. Loans are made through SBA approved non-profit intermediaries. these intermediaries also receive SBA grants to provide technical assistance to their borrowers. For a list of micro-lenders in Colorado, contact the SBA’s Colorado District office at (303) 844-2607.
- USDA-Rural Development (USDA-RD): The USDA-RD Business and Industry Loan Program provides loan guarantees and limited direct loans for business and industrial development in rural areas of the state. Rural areas include all territory of a state that is 1) not within the outer boundary of any city having a population of 50,000 or more, and 2) not within an area that is urbanized or urbanizing. priority is given to rural communities and towns of 25,000 or smaller. The maximum percentage of guarantee is 80 percent for loans of $5 million or less, 70 percent for loans between $5 million and $10 million, and 60 percent for loans exceeding $10 million up to $25 million. Loan proceeds may be used for working capital, purchase of machinery and equipment or to purchase fixed assets. For more information, contact the Community & Business programs section for Rural Development call 720-544-2903 or visit their website at www.rd.usda.gov.
- Colorado Housing and Finance Authority (CHFA): CHfA offers a number of loan programs to small businesses.
|There are no government grants for starting a new business.|
- SBA 504: With as little as a 10% down payment business can finance commercial owner-occupied real estate. A typical loan structure includes a first mortgage from CHFA representing 50% of the total project, with the SBA providing a second mortgage for 40%. Both loans include a 20-year fixed interest rate and may be used to finance machinery for up to 10 years. By limiting down the payment requirement, firms are able to preserve cash for investment back into their businesses.
- CHFA Direct: Provides owner-occupied real estate financing for loan amounts ranging from $50,000 to $20,000,000 with down payments as low as 15%. It features a fully amortizing, fixed rate with loan terms up to 20 years. This program also allows financing of manufacturing equipment. prospective businesses should apply directly to CHFA. Manufacturing businesses with project amounts exceeding $2 million may be eligible for special tax exempt financing.
- Non-Profit Real Estate Program: CHFA provides a long term, fixed interest rate combined with a low down payment requirement, creating the opportunity for non-profits to acquire real estate. Eligible 501(c)3 entities may also qualify for tax exempt financing at below market fixed rates. Prospective borrowers should apply directly to CHFA.
- The Rural Development Loan Program (RDLP): For existing businesses located in rural areas of the state, CHFA provides special rates and terms on its direct loan products. With down payments as low as 10%, businesses receive a fixed rate for a term of up to 20 years on commercial owner occupied real estate.
- Quality Investment Capital (QIC) Program: A program in which CHFA purchases the guaranteed portion of SBa 7(a) loans that are originated by local banks throughout the State. By purchasing the guaranteed portion of the loans, the borrower is able to take advantage of a long-term fixed-rate loan. The bank gains liquidity by selling the guaranteed portion of the loan, and makes fee income from a servicing fee paid to the lender (from CHFA).
- Quality Agricultural Loan (QAL) Program: A program in which CHFA purchases the guaranteed portion of agricultural loans guaranteed by the Farm Service Agency (FSA). Bankers throughout the state originate the loans, then sell the guaranteed portion to CHFA; thereby allowing the borrower to take advantage of a long-term (up to 30 years) fixed-rate loan for farm and ranch related purposes.
- Business and Industry II (B&I II): A program whereby CHFA purchases the guaranteed portion of Business and Industry loans guaranteed by Rural Businesses Services (RBS). The program is targeted to businesses in rural locations of the state and allows the borrower to take advantage of a fixed interest rate for up to 25 years.
- Manufacturing Revenue Bond Program: A program that provides favorable tax-exempt Private Activity Bond Financing targeted to small manufacturers in Colorado. The program provides for the financing of real estate, machinery and equipment associated with expansion projects specific to manufacturers. Borrowers must meet all eligibility thresholds, all federal tax code requirements, and often must compete for available Volume Cap.
- Brownfields Revolving Loan Fund: A newly established partnership between CHFA and the EPA, the Colorado Department of Health and Environment, and several municipalities throughout the state whereby funds are pooled by the partners and used to finance cleanup of environmentally contaminated commercial properties for future reuse or redevelopment. Financing terms include below market rates, flexible loan terms and creative loan structures. CHFA serves as the fiscal agent for the fund. For more information on CHFA's loan programs, contact the Colorado Housing and Finance Authority, 1981 Blake St., Denver, CO 80202, (303) 297-7329 or 1-800-877-2432.
|Business Loan Fund (BLF) Offices
Northeastern Colorado BLF
Weld & Larimer Counties
Clear Creek County BLF
Clear Creek & Gilpin Counties
Lincoln County BLF (Prairie Development Corp.)
Eastern Plains Counties
Prowers County BLF (SECED)
Pueblo County BLF
Otero County BLF
Ptero & Las Animas Counties
Chaffee County BLF (UAADC)
Central Colorado Counties
Rio Grande County BLF (SLVDRF)
San Luis Valley Counties
La Plata County BLF (Region 9 EDDSC)
Montrose County BLF Region (Region 10 LEAP)
Mesa County BLF (WCBDC)
Summit County BLF (Northwest Loan Fund)
(970) 468-0295 x119
El Paso County BLF (P.P.R.D.C)
El Paso County
Huerfano County BLF (Inactive)