Coloradans looking to start, restart or restructure a business can now apply for financial assistance through the state’s new Startup Loan Fund.

The fund launched on Thursday, offering $31.35 million in loans for Colorado small business owners. The loans can range from $10,000 to $150,000, with applications being accepted over the next 10 years on a rolling basis.

“As a Coloradan who knows what it’s like to start and run a business, I am committed to supporting entrepreneurs in Colorado and providing commonsense help to save people and businesses money,” Gov. Jared Polis said. “The Colorado Startup Loan Fund is an exciting new opportunity that will help entrepreneurs transform their idea into reality and create the next generation of great jobs in Colorado.”

To be eligible for the loans, businesses must be located in Colorado, have a majority of employees working in Colorado, have no more than 25 full-time employees and have no more than $2 million in gross annual revenues. The fund will focus on assisting business owners who have historically encountered barriers to bank financing.

The fund was created by the state legislature last year through House Bill 21-1288. The bill was in direct response to the COVID-19 pandemic’s impact on the business community, including increased bankruptcy filings and small businesses closing their doors.

“Small businesses are at the heart of the Colorado economy,” said Sen. James Coleman, D-Denver, who sponsored the bill. “Small businesses employment growth in Colorado has outpaced the national growth rate. In some sectors, such as construction, healthcare and retail, small businesses also make up the majority of employers.”

The state is partnering with eight lenders to implement the fund: B:Side Fund, Colorado Enterprise Fund, Community Enterprise Development Services, Exponential Impact, First Southwest Community Fund, Lendistry, Region 9 Economic Development District and Rocky Mountain MicroFinance Institute.

Businesses will apply directly with the lenders to receive a loan through the fund. Polis said the lenders were selected for their abilities to work with business owners who are in rural areas, may not speak English, have never carried a loan, lack assets required to secure financing or have been previously unable to obtain a loan. 

Business owners interested in the program can visit oedit.colorado.gov/startup for more information.