COVID-19 BUSINESS RESOURCES & UPDATES

Federal Resources

Economic Injury Disaster Loan Program (EIDL)

COVID financing programs have ended. For Economic Injury Disaster Loan borrowers, here's your next steps:

For over 2 years, the COVID-19 Economic Injury Disaster Loan program provided funding to help small businesses recover from the economic impacts of the COVID-19 pandemic. In that time, over 3.9 million loans totaling over $378 billion were approved across the country. In Colorado, the Small Business Administration approved over 60,000 loans totaling more $6 billion to be used as interim working capital and for other normal operating expenses. 

The program effectively ended the first week of May 2022. As of May 6, the SBA was no longer processing COVID-19 EIDL loan increase requests or requests for reconsideration of previously declined loan applications due to a lack of available funding.

As of May 16, the COVID-19 EIDL portal closed. Borrowers who need copies of their loan documents can still contact Customer Service at (833) 853-5638. Please allow 3-5 business days to receive your materials.

So, What Comes Next?

The EIDL program is a loan program with a 30-year maturity term and an interest rate assigned at loan closing. These loans are not forgivable and must be repaid.

Payments were automatically deferred for 30 months from the date of the Note. SBA began approving COVID EIDL applications in Spring 2020. This means we are rapidly approaching the end of the deferment period for those early loans.

Business owners should start preparing to make payments. Here are some important items to note:

• Interest continued to accrue on the loans during the deferment.
• Partial or full payments were being accepted during the deferment but were not required.
• Deferments may result in balloon payments.
• SBA will not be sending monthly SBA Form 1201 payment notices but may send regular payment reminders.

Expanded Employee Retention Tax Credit

The new law significantly expands the employee retention tax credit beginning on January 1, 2021. The credit expires on June 30, 2021. The prior credit was 50% on $10,000 in qualified wages for the whole year (or a maximum of $5,000 per employee). The new credit is 70% on $10,000 in wages per quarter (or a maximum $14,000 per employee through June 30th).

SBA Shuttered Venue Operator Grants Application Portal

The Shuttered Venue Operators Grant (SVOG) program was established by the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act, and amended by the American Rescue Plan Act. The program includes over $16 billion in grants to shuttered venues, to be administered by SBA’s Office of Disaster Assistance.

• The Shuttered Venue Operators Grant (SVOG) program will open on Thursday, April 8, 2021. 
• Eligible applicants may qualify for grants equal to 45% of their gross earned revenue, with the maximum amount available for a single grant award of $10 million. $2 billion is reserved for eligible applications with up to 50 full-time employees. For more information click here.
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SBA Disaster Loan info for solopreneurs, single member LLCs and Independent Contractors

Independent contractors, Solopreneurs, Single Member LLC owners are also eligible to apply for Unemployment Insurance, even while applying for PPP and/or EIDL. 

State Resources - Programs with open applications

Disproportionately Impacted Business Grant: Opening November 5th and Closing November 21st

The Disproportionately Impacted Business Grant provides funding to Colorado businesses that were disproportionately impacted by the pandemic and did not receive meaningful access to federal loans and grants. Businesses will receive a minimum of $1,500 and a maximum of $10,000.

This grant is intended to cover expenses that have not been covered by other federal funding. The second round of applications will open on November 5 with updated eligibility requirements. We will be hosting 3 webinars to answer questions in English and Spanish.

CLIMBER Loan Fund    Applications are open.
The Colorado Loans for Increasing Mainstreet Business and Economic Recovery (CLIMBER) fund provides $250 million to small businesses with working capital loans between $30,000 and $500,000. Below-market interest rates and a 1-year deferred payment option make the program a secure recovery option for small businesses.

Colorado Revolving Loan Fund   Applications are open.
This fund provides loans that help small to medium-sized Colorado businesses negatively impacted by the COVID-19 pandemic. These loans range from $5,000 to $750,000. The loans are intended to provide startup and working capital that will help create and retain jobs across Colorado.

Meeting and Events Incentive  Applications are open.
This program provides $10 million for a 10% cash rebate against eligible hard costs for hosting meetings and events in Colorado that take place on or after July 1, 2021 and on or before December 31, 2022.

Programs with upcoming applications

Colorado Community Revitalization Grant
Applications will open in July or August 2021.
This program provides $65 million in gap funding for mixed use projects in creative districts, historic districts, main streets or neighborhood commercial centers.

Colorado Arts Relief Grant
Applications will open in August 2021.
This program provides $15.5 million in a second round of funding to support arts, cultural and entertainment artists, crew members, and organizations affected by the COVID-19 pandemic. This program already provided $7.5 million in early 2021 in its first round of funding.

Rural Jump-Start Zone Grants
Applications will open in August 2021.
Businesses that establish new operations in specified Rural Jump-Start communities will be eligible to receive up to $40,000, or up to $5,000 per new hire.

Small Business Accelerated Growth Program
Applications will open in September 2021.
This program, also known as Economic Gardening, will provide $1.35 million for technical development support to businesses with 19 or fewer employees.

Colorado Cannabis (Marijuana) Entrepreneur Program
Applications will open in fall 2021.
This program provides $4 million in funding for grants and loans as well as technical assistance for entrepreneurs in the cannabis space.

Colorado Startup Loan Program
Applications will open at the end of 2021.
This program provides $40 million to small businesses seeking capital to start, restart, or restructure a business. Loans and small grants will be made available through a host of lenders that work in communities throughout the state. OEDIT will work with community partners to reach underserved entrepreneurs and small businesses owners.

Disproportionately Impacted Business Technical Assistance
Applications will open in late 2021.
This program provides $900,000 to support technical assistance for businesses that have been disproportionately impacted by the COVID-19 pandemic.

Employee Ownership Loan Fund
Applications will open in late 2021.
This program provides loans available to Colorado business owners transitioning their business to Colorado Employee Owned (offering 20% or more employees ownership in the business) and to groups of employees purchasing an existing Colorado business to become Colorado Employee Owned.

State Small Business Credit Initiative
Applications will open in early 2022.
As a part of the federal American Rescue Plan Act, the federal government passed the SSBCI bill to fund small business credit support and investment programs. OEDIT will submit its application to receive these funds in December 2021 to increase capacity of existing programs that provide access to capital for new and growing businesses.

Employee Ownership Tax Credit Program
Applications will open in early 2022.
This program provides tax credits up to $50,000 to Colorado-based businesses that are forming employee stock ownership plans, cooperatives, and employee ownership trusts. 

COVID-19 Business and Nonprofit Resources Funding Opportunities

ENERGIZE COLORADO - GAP FUNDING

Currently not accepting applications.  New round of funding is coming, but ONLY applicants who have previously applied for the Gap Fund may receive this new round of funding.

Pikes Peak SBDC COVID-19 Assistance

El Paso & Teller County assistance thru the local PP SBDC