Colorado Capital Access (CCA) creates greater access to capital for small and medium sized businesses operating in Colorado by using small amounts of public resources to encourage financing by eligible lenders (such as banks and community development financial institutions). CCA is a credit reserve enhancement that helps reduce the risk of loan losses by partially funding a loan loss reserve at each participating lender. This program may also be used in conjunction with the Colorado Credit Reserve Program. The Colorado Economic Development Commission and OEDIT provided $2 million in funding for CCA utilizing federal Small Business Jobs Act of 2010 funds (specifically the State’s Small Business Credit Initiative – SSBCI).
At least 2% and up to 7% of the maximum principal amount of each loan will be collected in equal parts from the borrower and from the lender and deposited into the lender’s CCA reserve fund (a $1 for $1 match requirement). Loans or credit facilities up to $750,000 are eligible for CCA. Losses from enrolled loans may be recovered by the lender from the reserves in the reserve fund. Click here to view a fact sheet of the CCA program.
Visit www.chfainfo.com to learn more about the CCA program, or call CHFA’s Denver office at 1-800-877-2432 or Western Slope office at 1-800-877-8450 for additional information.