DECD: Small Business Assistance Revolving Loan Program
The Small Business Revolving Loan Program provides Connecticut’s small businesses with the financial resources they need to operate and grow in the State. Under this program Connecticut-based businesses with less than fifty employees are eligible for loans and lines of credit of up to $500,000. Below are the guidelines for the program and the contact.
Eligibility Criteria: At time of application, a borrower must be a Connecticut-based business (for-profit or not-for-profit) with less than fifty employees. Applicant must be in business at least twelve months prior to their application for funding and all applicants must be in good standing with all state and local taxes.
Loan Amount: Up to $500,000 per business
Term: Up to 10 years based on cash flow needs of the business
Use of Funds: Purchase of new or used machinery and equipment, real estate acquisition, new facility construction, rehabilitation of existing facility, leasehold improvements, inventory, and no more than 25% of the loan proceeds can be used for working capital (including training, R&D, and marketing). No refinancing of existing debt is allowed.
Collateral: Machinery and equipment, real estate, inventory, personal/corporate guaranties, or other collateral as may be required by DECD.
Application Process: Application, approval/disapproval letter (approval letter would include a term sheet for funding), contract closing.
Fees: Application fee of $75 to be sent with application. Borrower is responsible for paying closing costs, which may be financed with loan proceeds.
You may link to State information page via the link below. New Haven businesses or prospective businesses should contact program officer below for assistance.
Follow this link for more information.