According to the U.S. Small Business Administration small businesses make up 63 percent of new private-sector jobs in the United States. Understandably, while job creation is essential for small business success, the cost of hiring an employee is expensive. To help small business in Connecticut, the DECD created the Small Business Express Program to cover some of the costs of job creation, working capital, and expansion. The three facets to this program are the Revolving Loan Fund, Job Creation Incentive Loan and Job Creation Matching Grant program.
The Small Business Express Revolving Loan Fund provides amounts from $10,000 to $100,000 at up to a 4% interest for a maximum 10-year term to assist businesses with capital expenditures. Eligible expenditures are working capital, purchase of machinery and equipment, construction or leasehold improvements, relocation within the state, or other business related expenditures authorized by the Commissioner of the DECD. The DECD will determine loan terms, conditions, and collateral requirements in a manner that prioritizes job growth and retention. Qualified applicants must employ less than 50 employees, be Connecticut based with operations in Connecticut, have been registered to conduct business in the state for at least 12 months and be in good standing with state and local taxes. Priority is given to economic-based industries.
The Small Business Express Job Creation Incentive Program provides loans to small businesses that meet eligibility requirements for expenditures to support job creation such as training, marketing or working capital at a minimum of $10,000 and a maximum of $300,000. Prioritization is for loans that will assist in maintaining job growth. Additionally, the Commissioner of the DECD may offer loan payment deferral as well as some loan forgiveness upon assessment of the small businesses’ attainment of job goals. This loan is at a rate of up to 4% for a term not more than 10 years.
The Job Creation Matching Grant Program makes dollar-for-dollar matching grants available at a minimum of $10,000 and a maximum of $100,000 to provide money for specific job creation, capital investment and working capital goals. Eligible expenditures are training, working capital, purchase of machinery and equipment, construction or leasehold improvements, relocation within the state, or other business related expenditures authorized by the Commissioner of the DECD. Qualified applicants must employ less than 50 employees, be Connecticut based with operations in Connecticut, have been registered to conduct business in the state for at least 12 months and be in good standing with state and local taxes. Priority is given to economic-based industries and businesses likely to maintain growth.
For more information or to apply for any of these programs, please contact Michelle Peters at 860-270-8052 or via email at michelle.peters@ct.gov. NCDC would also love to help step you through the process, just Ask NCDC 860.887.6964.
