Colorado Corn: Small Business Funds Available
[Greeley, CO — April 2, 2020] On April 1st, the Small Business Administration (SBA) and U.S. Treasury Department began an unprecedented public-private mobilization effort to distribute funds to provide small businesses with the capital they need.
“This legislation provides small business job retention loans to provide eight weeks of payroll and certain overhead to keep workers employed,” said Treasury Secretary Steven T. Mnuchin. “Treasury and the Small Business Administration expect to have this program up and running by April 3rd so that businesses can go to a participating SBA 7(a) lender, bank, or credit union, apply for a loan, and be approved on the same day. The loans will be forgiven as long as the funds are used to keep employees on the payroll and for certain other expenses.”
The new loan program will help small businesses with their payroll and other business operating expenses. It will provide critical capital to businesses without collateral requirements, personal guarantees, or SBA fees – all with a 100% guarantee from SBA. All loan payments will be deferred for six months. Most importantly, the SBA will forgive the portion of the loan proceeds that are used to cover the first eight weeks of payroll costs, rent, utilities, and mortgage interest.
“The devastating impact of coronavirus (COVID-19) has tested the will of millions of small businesses throughout Colorado and the nation, but help is on the way,” said SBA Regional Administrator Dan Nordberg. “By joining forces, and leveraging the power of private industry, the Paycheck Protection Act will provide businesses with the capital and certainty they need to retain their employees and continue serving our communities. I am deeply proud of SBA’s quick implementation of this critical program and look forward to working with our lending partners to provide the assistance necessary to support small business.”