With the new $284 billion Congressional appropriation for small business relief, the federal Paycheck Protection Program (PPP) will re-open the week of January 11 for new borrowers and certain existing PPP borrowers.
To promote widespread community access to capital, initially only community financial institutions will be able to make First Draw PPP Loans on Monday, January 11, and Second Draw PPP Loans on Wednesday, January 13. The PPP program will open to all participating lenders shortly thereafter.
Eligible lenders of the first two draws of PPP loans are one of four types:
Community Financial Development Institution (CDFI)
In the new rounds of PPP, businesses that use an agent to file their PPP applications will be responsible for covering the corresponding expense for their service. In the 2020 PPP allocations, the lender paid that fee; however, businesses are now responsible for the fee and cannot use PPP funds to reimburse themselves. For PPP applicants that have previously received PPP loans, the financial institution which processed last year’s loan is your best place for you to begin new inquiries.
EIDL and the EIDL Advance program are re-opening for target areas. Information is forthcoming from SBA.
Shuttered Venue Grants: Businesses who qualify for this grant cannot receive this grant and new PPP funds. They will need to make a decision as to which funding source makes the most sense for their business.
Tech Venture Accelerator for Women: This 10-part virtual cohort series helps female entrepreneurs in emerging companies in Colorado’s advanced industries to overcome hurdles in order to accelerate growth and development. The format, topics and tangible assistance the program offers was developed from success working with early- and second-stage science and technology ventures for more than 10 years. Applications are due on January 14.
Global Trade Activator Program: This four- to six-month training program helps small business entrepreneurs develop and implement their global trading strategy. You will learn how to export your products to new markets and/or source international products to more competitively sell in the United States. Applications are due on January 18.
Employee Ownership Trial Grant: This $3,000 grant is available to Colorado-headquartered small businesses to pay for the reimbursement of professional technical services required to transition your business to become a Colorado Employee Owned Company. Eligible employee ownership structures include any model offering an employee ownership stake to at least 20% of your employees. Applications are due on February 26.
Proof of Concept Grant: This grant provides funding to help Colorado research institutions speed up applied research in advanced industries and commercialize products and services with the private sector. The grant funds pre-commercial research and commercialization preparation. Projects can receive up to $150,000. Applications for the grants are due on March 1, 2021.
Early-Stage Capital and Retention Grant: This grant helps Colorado-based advanced industries technology businesses develop and commercialize advanced technologies that will be created or manufactured in Colorado. Projects can receive up to $250,000. Applications are due on March 1, 2021.
Advanced Industries Investment Tax Credit: This tax credit encourages investments in Colorado advanced industries businesses by providing tax credits to investors. Investors can earn a state income tax credit for 25% of their investment up to $50,000 in credits on an investment of $200,000 or more. Funding was renewed on January 1, 2021 and we will accept applications until funds are gone.
Colorado Office of Economic Development, 1600 Broadway, Suite 2500, Denver, Colorado 80202, (303) 892-3840
You received this email because you are subscribed to Regional Partners Updates. If you were forwarded this email, please sign up to receive these updates in your inbox. If you would like to provide feedback about this newsletter, simply reply to this email or submit your feedback anonymously.
Paycheck Protection Program Application Deadline Extended
The application deadline for the SBA’s forgivable small business loans known as the Paycheck Protection Program (PPP) has been extended until August 8, 2020. Applications reopened today (July 6) for eligible small businesses, nonprofits and independent workers negatively impacted by pandemic-related economic disruption.
Review the application (provided by your lender) and gather the necessary materials such as payroll tax filings, proof of lease payments, proof of mortgage payments, and proof of utility payments.
Get in contact with your accountant and/or bank that pays out your business’s payroll. Ask your lender if it is authorized to process your Paycheck Protection Program loan. If you are not connected to an authorized lender, find an eligible lender here. We have also compiled a list of Colorado SBA approved lenders. If you are struggling to find a lender, please contact our hotline at (303) 860-5881.
PPP Loan Forgiveness Tools: Consult your accountant, tax preparer, and/or lender for advice. These tools are for general planning purposes, does not constitute legal, financial, or tax advice and is not an official document
Latest guidance released last week says that PPP recipients can apply for loan forgiveness early but that doing so could cost them money. Learn more.
’Digging into Business Insurance and Commercial General Liability Issues’ Webinar
In this week’s Startup Colorado webinar, learn the ins and outs of business insurance during COVID-19 from some of Colorado’s top attorneys. The webinar will highlight business interruption and commercial general liability issues.
The webinar will also discuss the Main Street Phoenix Project, which was built to assist employees in securing joint ownership. Transitioning to an employee-owned structure may help re-open small businesses that may otherwise remain closed after the COVID-19 crisis.
Thank you for signing up for COVID-19 email updates from the Colorado Office of Economic Development and International Trade. We expect to email you whenever we have news to share, which could be daily or weekly depending on the situation.