What We Do
NCRLF provides small business loans in the six counties of northeastern Colorado. Loans are made to benefit communities, through new or existing services or products and job growth. The underlying funding for these loans originate as either CDBG funds or revolved funds (also known as direct loans). Underwriting requirements and restrictions vary for both loans.
CDBG Loans (Community Development Block Grants)
These loans originate from CDBG funds and more stringent requirements exist for these loans. They must meet low to moderate income requirements to be approved for financial assistance to small business. Due to the stricter requirements of these funds, it is more difficult to qualify for this type of loan. CDBG loans generally range between $50,000 and $250,000 with a term not to exceed 7 years.
Direct Loans are generally unencumbered by some of the more stringent criteria governing CDBG loans and are made by NCRLF on an as-needed basis. Direct loans are considered eligible only after applicants have exhausted conventional and other sources of capital. These loans generally range from $1,000 to $50,000 (may be increased by board approval) and do not exceed 7 years.
Interest rates are based on the collateral, length of the loan, needs of the company, and the prime rate as stated in the WSJ on the date of the loan commitment.