The Essential Guide to Colorado Lending Source Loan Programs

Help your small business clients through our various financing options

is to foster the economic growth of diverse small businesses within our communities.

Our 2016 Impact…

Our Mission…

270Loans Approved

1,845Jobs CreatedTotal Project Cost

$345,988,124.21

On the call…

Senior Marketing & Communications Officer

Lauren KloockMike O’Donnell

Executive Director

Jessica Stutz

Special Markets Lending Director

Lending Director

Laurel WalkAdam Melnick

Senior Entrepreneurship Officer & In-House Counsel

Ice HouseEntrepreneur Development Program

• Attend a weekly two hour classroom session for ten weeks

• Complete one to two hours of online training per week

• Master the eight critical entrepreneurial mindset characteristics as outlined in the book "Who Owns the Ice House"

by Clifton Taulbert

• Have access to close personal interaction with experienced entrepreneurs

• Meet one-on-one with facilitators to reach your full potential

• Create a Vision Statement to guide your entrepreneurial journey

• Learn to use the Opportunity Discovery Canvas to evaluate your business idea or find a new direction for your

current business

• Interact and receive support from peers who are on a similar journey

• Develop or re-engage your entrepreneurial spirit

• Access to the Ice House alumni network

What to Expect

Ice HouseEntrepreneur Development Program

• Business owners who feel stagnant or stuck with

their strategies and would like to re-invigorate

their creativity and motivation

• Aspiring business owners who may be fearful or

unsure of how to launch a business

• Entrepreneurs who would like to refine their

business idea with inexpensive yet creative

market research

• Employees looking to create more value for

themselves and increase motivation and self-

confidence in the workplace

Who Should Apply Important Dates

• Information Sessions TBD

• Early Bird Deadlines* September 15th & 29th

• Application Deadline October 5th

• First Class October 10th

*Apply by September 15th and receive $100 off

tuition or by September 29th and receive $50 off

tuition

Colorado Main Street Loans

Eligible Uses

Loans from $5,000 to $50,000

Startup expenses or business acquisition

Purchase furniture, equipment &

inventory

Debt refinance & working capital

Tenant Improvements

This is a character-based micro loan available to small businesses who are unable to obtain conventional financing.

Colorado Main Street Loans

Requirements

• The business must be located within Colorado

• The business must be small

• At least 51% of the business must be owned by a U.S. citizen or legal, permanent resident

• Eligible business structures include sole proprietors, partnerships, LLC’s, corporations, co-op’s and

employee-owned firms

• Non-profit entities may be considered if located within a rural community

Download the South & Southeastern Colorado Main Street Fact Sheet for requirements in those communities.

Loans from $5,000 to $50,000

Colorado Main Street Loans

For businesses located outside the 11 Front Range Counties

We can fund75% to 90% of the total project cost

This loan program wouldn’t be possible without funding sources from Guaranty Bank and Trust Company, the Kenneth King Foundation, the U.S. Department of Agriculture’s Intermediary Relending Program and the Small Business Administration’s Intermediary Lending Pilot Program.

Advance the Mission

6.25%Interest Rate

A special thanks to our funding partners…

Loans from $5,000 to $50,000

For businesses located within the 11 Front Range CountiesAdvance the Mission

8.75%Interest Rate

Colorado Main Street Loans

Vortic Watch Co.

“My dad is my greatest role model. I grew up on a Christmas tree farm and he taught me in high school how to run a

business by running the farm. He was my inspiration to quit my corporate job and run my own business.” ~ R.T. Custer

Purchase Inventory & Equipment: $50,000 | Jobs Created: 3

Eligible Uses

SBA Community Advantage LoansLoans from $50,000 to $250,000

Buy, build, or renovate commercial real estate

Debt refinance & long-term working

capital

Purchase furniture, equipment & inventory

Tenant Improvements

Business acquisition, expansion or startup

Requirements

• Every applicant must be referred by a lender who is unwilling to make a loan

• Must be an eligible for-profit small business located in Colorado with a net worth of less than $15 million and a two-

year average net profit of less than $5 million

• Anyone owning 20% or more of the small business is required to provide a personal guarantee

• Must meet minimum SBA credit score requirement

• Borrower downpayment of 10% is required for start-up or business acquisition

• Preference will be given to applicants that are underserved (download factsheet for a detailed list)

SBA Community Advantage LoansLoans from $50,000 to $250,000

SBA Community Advantage Loans

10 to 20 year terms with fixed or adjustable interest rates based on Wall Street Journal Prime + 4.75%

Funding for this loan program comes from Guaranty Bank and Trust Company, Citywide Banks and Peoples National Bank.

We charge a packaging fee of 2% or $2,500

depending on which price is lower.

Support Each Other

9.00%Current Rate

A special thanks to our funding partners…

(Fees can be financed into the loan.)

A 3% fee is charged on the SBA guaranteed portion of the loan and is waived for loans $150,000 or less.

Loans from $50,000 to $250,000

SBA Community Advantage Loans

If eligible, you will submit a loan application & we will begin underwriting

STEP 2

Once the package is

ready, we will submit it

to the SBA for approval

STEP 3Colorado Lending Source will close & fund your loan

STEP 4Colorado Lending

Source will service the loan for its lifetime

STEP 5

Connect with a lender & if you can’t receive financing, have them refer

you to Colorado Lending Source or obtain a bank rejection letter

STEP 1

Clear Intentions

“My greatest inspiration is my driving passion for the environment and wanting to change the world for future

generations. It has been the foundational issue that motivates me every day.” ~ Brittany Evans

Purchase & Install Equipment: $250,000 | Jobs Created: 3

SBA 7(a) Loans

We are a… LENDER SERVICE PROVIDERwhich means we help lenders finance SBA 7(a) loans, working as their back office and liaison to the Small Business Administration.

Loans up to $5 Million

Our goal is to simplify the SBA 7(a) loan process for lenders and their small business borrowers.

SBA 7(a) Loans

Eligible Uses

Business acquisition, expansion or startup

Buy, build, or renovate owner-occupied

commercial real estate

Tenant Improvements

Purchase furniture, equipment & inventory

Debt refinance & working capital

Loans up to $5 Million

SBA 7(a) Loans

Highlights

• Fixed or adjustable interest rates available within SBA established maximums

• SBA Guaranty of 75% to 85%

• Streamlined SBA submission process for qualified loans under $350,000

• SBA Guaranty Fee ranges from 0% to 3.75%, which can be passed on to the borrower

Enjoy Your Work

7.00%

Variable Prime

Enjoy Your Work

8.52%

Fixed Rate

Loan terms up to 10 years for most requests or up to 25 years for long-term equipment or commercial real estate

Loans up to $5 Million

SBA 7(a) LoansThe 7(a) loan process with Colorado Lending Source as your Lender Service Provider:After a small business owner requests a loan, and the Lender begins the underwriting process...

1 The Lender calls Colorado Lending Source to check loan project eligibility.

If the project is eligible, Colorado Lending Source will collect and organize the loan package.2 Once the package is complete,

Colorado Lending Source will submit it to the SBA. 3

Colorado Lending Source is available to answer ques-tions regarding loan modifi-cations and liquidation7The Lender is now responsi-

ble to close and disburse the loan.6Colorado Lending Source

prepares a closing docu-ment toolkit for the Lender.5

THE SBA APPROVES THE LOAN4

Download the Lender Service Provider Resume to learn more about the type of loan assistance and services we provide to our lending partners.

Maria Empanada

“My greatest inspiration is my country, my roots, and my culture. I arrived in the U.S. with only one backpack, but that backpack was important

and had things that reminded me of Argentina, which is now represented in everything throughout my restaurant.” ~ Lorena Cantarovici

Purchase Equipment, Renovations, & Working Capital: $365,048 | Jobs Created: 12 Partner Lender: Citywide Banks

SBA 504 Loans

BankColorado Lending SourceBorrower

10%

40%50%

Bank finances up to 50% of the total project cost

Colorado Lending Source finances up to

40% of the total project cost

Borrower finances 10% of the total

project cost (up to 20% depending on

the type of business)

Loans from $25,000 to $5.5 Million

Collaborate OpenlyInterest rates are long-term & fixed for 10 or 20 years

4.766%

Collaborate Openly

4.497%

20 year rates 10 year rates

Typical Loan Structure

SBA 504 Loans

Eligible Uses

Buy, build, renovate or expand owner-occupied commercial real estate

Purchase long-term machinery & equipment

Refinance conventional commercial real estate &

equipment loans

Loans from $25,000 to $5.5 Million

SBA 504 Loans

Requirements

• Must be a for-profit business located within the United States

• Must be valued at less than $15 million with an after tax profit of less than $5 million per year over the average

of two years

• Must occupy 51% or more of commercial real estate that is being purchased or renovated OR 60% for ground

up construction

• Individuals owning 20% or more of the business must act as personal guarantors

Download the SBA 504 Fact Sheet for more details on Debt Refinance requirements and the advantages of this program.

Loans from $25,000 to $5.5 Million

SBA 504 Loans

Sweet Action

“The main inspiration for starting my own business is the message that punk rock sends, which is to do your own thing. It doesn’t

matter what people think about you. You just need to do what you are passionate about.” ~ Chia Basinger

Commercial Real Estate & Equipment Purchase & Renovations : $1,029,372 | Jobs Created: 4 Partner Lender: JP Morgan Chase Bank, NA

Want an in-depth training?

Kate Truesdale

If you would like to learn more about any of the programs covered today, please don’t hesitate to reach out!

• We have subject matter experts and can prepare a training tailored to the specific needs of you and your team

• We’ll travel to your office • Contact Kate for more information and to schedule a training:

kate@coloradolendingsource.org

Marketing Communications Associate

Colorado Entrepreneur Success Tour

Thank you!

Downtown Denver Office 1441 18th Street, Suite 100

Denver, CO 80202 303.657.0010

Glenwood Springs Office 2520 South Grand Avenue, Suite 207

Glenwood Springs, CO 81601 970.947.1400

www.coloradolendingsource.org | info@coloradolendingsource.org

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