PURPOSE: The Business Loan Fund (BLF) was established to assist small businesses within the five Southwest Colorado counties comprising Region 9. The main focus of the BLF is to promote business expansion in Southwest Colorado by creating or retaining employment opportunities for low to moderate-income persons. The loan funds are designed to leverage private funds in order to bridge the gap between monies and financing needed for the proposed project.

Before an BLF loan can be requested, the business in consideration must demonstrate that all other financing alternatives have been exhausted or an insufficient rate of return exist to the business for the project to proceed. Job creation and/or retention must also be included as part of the project. One full time equivalent job must be created or retained for approximately each $20,000 of BLF assistance.

The purpose of the BLF is to support business activities for which credit is not otherwise available on terms and conditions which would permit completion and/or the successful operation or accomplishment of the project.

The BLF funds must be leveraged with other funds, consisting of either private financing, equity capital, or a combination of the two.  The BLF cannot exceed 33% of the entire loan package.  Maximum amounts for local BLF participation is $500,000.

The BLF funds can be utilized for the following primary uses:

==> Capital Equipment
==> Inventory
==> Working Capital

Other secondary uses are allowed with approval from the BLF Loan Committee.

Other questions and concerns can be directed to:
Jenny Stollar
Region 9 Economic Development District of Southwest Colorado, Inc.
295A Girard
Durango, Colorado 81303
(970) 247-9621
(970) 247-9513 (fax)