CONNECTICUT – Small businesses and nonprofits in Connecticut will be able to apply for loans ranging from $5,000 to $500,000 thanks to the program Connecticut Small Business Boost Fund Governor Ned Lamont announced Monday following a public-private partnership that provides low-interest loans for these businesses.
The program aims to help small businesses and nonprofit organizations, particularly those in low-income and historically underserved communities, with access to flexible working capital. The loans carry a fixed interest rate of 4.5% and are available to eligible small businesses and nonprofit organizations with operations in Connecticut that have 100 or fewer full-time employees and annual revenues of less than $8 million.
“We are delighted to launch Connecticut Small Business Boost Fund, a new collaboration with private sector partners and investors that will provide businesses and nonprofits with the working capital they need to grow and prosper,” Governor Lamont said. “This fund was established to support small business owners who may have experienced barriers to accessing financial support and works with and through community lenders who are dedicated to equitable lending practices.”
The State is making a pivotal investment of $75 million in this public-private partnership, which aims to lend $150 million or more to qualifying businesses and nonprofits. The goal is for the fund to become self-sustaining as more private funds are invested.
Small businesses and non-profit organizations can apply online at CTSmallBusinessBoostFund.org and, if they qualify, they will be matched with a lender. Once matched, the participating lender will assist the business owner throughout the application process.
The fund works with and through local community development financial institutions (CDFIs) and lenders who have decades of experience serving historically underserved and unbanked communities. The following CDFIs participate in the program:
• Ascension
• Capital for Change
• HEDCO
• NDC Community Impact Loan Fund
• Pursuit
• Southeastern CT Business Region (SeCTer)
For information on how to apply for help, click here.