Emergency Bridge Funding Available
Enhancing the Ability of Local Businesses
to Secure Necessary Capital
The Town of Carbondale (Town) developed the Revolving Loan Fund (CRLF) to enhance the ability of local businesses to secure the necessary capital to finance start-ups, operations, or expansion.
The fund loan fund was set up in 2002 with a 50/50 partnership with the USDA. The Town and the USDA both contributed $50,000.
In addition to providing access to capital, CRLF is designed to help stimulate job creation and retention. Loans are available to new or established businesses that are located within the town limits of the Town of Carbondale.
Send a one page summary descriping your loan need, payback timeframe, and ability to repay the loan to Colin Laird, Third Street Center (email / 970-963- 3221 x3). You can also download the application to learn more amount the information requirements.
After an initial discussion with Colin, you can the complete loan package and send it in by email. Once it is complete, the application will be submitted to the Town of Carbondale Loan Review Committee for review.
The Loan Committee meets on the 2nd Monday of each month. (It will likely meet more often and by video conference during the COVID-19 shutdown). The applicant will be invited to participate and answer any questions. The loan approval process takes approximately 4-6 weeks after a completed application is received.
Loan proceeds may be used for business reasons, including real estate acquisition, construction, equipment, and as a bridge loan during the COVID-19 shutdown.
Funds cannot be used for the refinancing of existing debt. Applications will be considered on the basis of the character of the applicant, the applicant’s capacity to repay the loan, collateral and/or other sources of capital, and conditions affecting the applicant’s ability to repay the loan.
The application will include financial and background information, including financial statements, financial projections, and a business plan.
The guideline for the amount to be requested is $5,000 to $25,000.
The interest rate will depend on several factors such as the type of collateral, financial strength of the applicant, and the overall risk. Fixed rates of interest will range from 3% to 10%. **COVID-19 Emergency Bridge Funding Available – 0% interest**
The term of each loan will depend on repayment capabilities and the purpose of the loan. Repayment may be monthly, quarterly, lump sum, or some other method. It is anticipated that the term of each loan will not exceed 36 months.
Today, the fund has roughly $130,000 to loan to for-profit and nonprofit businesses based in Carbondale
Colin Laird, Third Street Center, 520 South Third Street, Carbondale, CO 81623
email / 970-963- 3221 x3
If you are starting a new business, check out this resource from the State of Colorado.