COVID-19 and Your Business: Government Assistance Available to Keep Your Small Business Afloat During Crisis
For Colorado businesses scrambling for funding to stay afloat in the current economic crisis, know that you have options. Colorado has secured federal loan assistance for Colorado small businesses and local assistance is set to provide grants and micro-loan program to small businesses.
Federal Loan Assistance Under the Coronavirus Preparedness and Response Supplemental Appropriations Act
Congress has approved the Coronavirus Preparedness and Response Supplemental Appropriations Act (CPRSAA). The CPRSAA provides $8.3 billion in fiscal year 2020 to combat and counter the effects of the coronavirus pandemic. Specifically in terms of small business, the CPRSAA provides additional funding for the Small Business Administration (SBA), and for disaster loans for select states, including Colorado as of March 19, 2020. The SBA has granted disaster relief for small business loans in Colorado under the SBA’s Economic Injury Disaster Loan Program. What does this mean for your small business? Colorado small businesses affected by the pandemic can apply for low-interest federal loans intended to pay for debts, payroll, and accounts payable of the business. The SBA can provide up to $2 million to help meet financial obligations and operating expenses that could have been met had the disaster not occurred. A loan amount is based on actual economic injury and your company’s financial needs. More information and application instructions are available here.
Local Assistance – Denver to Provide Grants and Micro-Loans to Local Business
In addition, for Denver based small businesses, Mayor Hancock has announced an economic relief package for local businesses hurt by the closures and social distancing efforts. The City of Denver will create a $4million relief fund that will offer cash grants of up to $7,500. Denver will also partner with financial institutions to establish a micro-loan program to further support small business in this crisis.
