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SBA Paycheck Protection Program (PPP)

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SBA Paycheck Protection Program (PPP) | Colorado Enterprise Fund

Colorado Enterprise Fund is now accepting applications for the PPP program for both first-time and second-time borrowers.

Looking for information on CEF's PPP forgiveness process? Please visit our PPP forgiveness page for the latest updates, information, and application links.
View Our PPP Forgiveness Page

Round Two PPP Loan Program and Application

First-Time Applicants

If you are looking to obtain a PPP loan for the first time, please use the application linked below.

General eligibility requirements for first-time applicants are as follows:

  • Must have under 500 employees or meet the SBA’s alternative industry size standards

  • Must have been open on or before 2/15/2020  

Access the 1st Time App
Second Draw Loans
Obtained a loan in the first round and looking to get a second? Use the link below to access the application.
 
General eligibility requirements for second draw loans:
  • Must have under 300 employees or meet the SBA’s alternative industry size standards
  • Must have been open on or before 2/15/2020
  • Must have experienced a decrease in revenue in 2020 by at least 25% when compared to a part or all of 2019
  • Must have spent all PPP funds from the previous loan
Access the 2nd Draw App

Round Two PPP Loan Program and Application FAQs

There are two types of loans in the PPP 2nd round – first draw loans, and second draw loans. If you are a first time PPP borrower (have not previously had a PPP loan), you will apply using the 1st draw loan application. If you currently have a PPP loan or have had a PPP loan forgiven, you will apply using the 2nd draw loan application.

Eligibility requirements for 1st draw loans:

– Must have under 500 employees or meet the SBA’s alternative industry size standards

– Must have been open on or before 2/15/2020

Eligibility requirements for 2nd draw loans:

– Must have under 300 employees or meet the SBA’s alternative industry size standards

– Must have been open on or before 2/15/2020

– Must have experienced a decrease in revenue in 2020 by at least 25% when compared to a part or all of 2019

– Must have spent all PPP funds from the previous loan

*Please note, you are NOT required to obtain forgiveness prior to applying for a 2nd draw PPP loan.

Generally, loan amounts are calculated using the following formula:

Average monthly payroll for EITHER 2019 or 2020 X 2.5 = Maximum Loan Amount

If you received an EIDL between 1/31/2020 and 4/3/2020, you may elect to refinance the remaining loan amount as an addition to your PPP loan. Please note, this is only the loan portion of the program and does not include the advance as that does not have to be repaid.

Additionally, if you are in an eligible NAICS classification (classifications begining in "72") , your loan amount may be calculated at 3.5X rather than 2.5X.

Documents needed for 1st draw PPP loans:

  • Driver’s license of applicant
  • Either 2019 OR 2020 payroll records supporting the average monthly payroll input by applicant (the applicant can elect which year to provide payroll records from)
  • Documents verifying that you were in business on or before February 15, 2020

If you are a small business with employees, please submit payroll processor reports or 941s for the entire year. For Independent Contractors, Sole Proprietors, and Self-Employed without employees, payroll records would wither be a 2019 schedule C or 2020 schedule C or 1099 form. If you elect to use 2020 as your verification year and have not yet filed 2020 taxes, you may fill out the 2020 schedule C as if you were going to file it and submit that.

Documents needed for 2nd draw PPP loans:

  • EITHER your 2019 business tax return (in full) OR 2019 Profit and Loss statement (quarterly) OR 2019 quarterly 941s
  • EITHER your 2020 Profit and Loss statement (quarterly) OR 2020 quarterly 941s
  • Either 2019 OR 2020 payroll records (the applicant can elect which year to provide payroll records from)

If you are a small business with employees, please submit payroll processor reports or 941s for the entire year. For Independent Contractors, Sole Proprietors, and Self-Employed without employees, payroll records would wither be a 2019 schedule C or 2020 schedule C or 1099 form. If you elect to use 2020 as your verification year and have not yet filed 2020 taxes, you may fill out the 2020 schedule C as if you were going to file it and submit that. If you elect to use 2019 as your verification year, and PeopleFund already has your information on file, you will not need to upload any payroll documentation.

Please email application support requests to pppservice@coloradoenterprisefund.org.  A member of our Business Advisory Team will be in contact with you within 48 hrs of email receipt

Colorado Enterprise Fund is dedicated to ensuring all eligible small business owners who qualify for the PPP 1st or 2nd draw loans are approved. We will not know if we will be able to fund your specific request until we review your application. For more information on program guidelines, eligibility concerns, and updated forms, please click here.

– Eligible payroll costs (must be at least 60% of loan proceeds)

– Mortgage interest

– Rent/lease

– Utilities

– Refinancing and SBA EIDL made between 1/31/2020 and 4/3/2020

– Covered operation expenditures*

– Covered property damage costs related to damage, vandalism, and looting that occurred in 2020 and was not covered by insurance

– Covered supplier costs*

– Covered worker protection expenditures*

*A detailed list of all covered costs can be found on page 49 of the following Internal Final Rule: click here to read more.

Generally, forgiveness requires that you 1) spend your PPP funds only on eligible expenses and 2) that your document proof of your eligible expenses in the appropriate way. Forgiveness may also require that you do not decrease employee headcount, salary, hours, or wages or hire/attempt to hire back employees that were laid off or furloughed among other requirements. Additionally, you MUST spend at least 60% of the funds on payroll in order for forgiveness not to be reduced.

Documents you may need for forgiveness include payroll reports, state and federal tax filing statements, benefit statements, mortgage interest or rent, lease, or utility invoices or receipts, documents establishing that mortgage, lease, and utility agreements were in place prior to 2/15/2020, and anything additional that may help establish proof of funds spent.

You may apply for forgiveness through Colorado Enterprise Fund once you have spent your PPP funds or at the end of your spending period – an elected period either 8 weeks or 24 weeks from the date of your loan disbursement or alternative covered period.

This is a loan at 1% interest for a maximum of 5 years.

If you submit to your lender a loan forgiveness application within 10 months after the end of your loan forgiveness covered period, you will not have to make any payments of principal or interest on your loan before the date on which SBA remits the loan forgiveness amount on your loan to your lender (or notifies your lender that no loan forgiveness is allowed)

PPP Overview

The Paycheck Protection Program (PPP), authorized under the Coronavirus Aid, Relief, and Economic Securities (CARES) Act, provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. Funds can also be used to pay interest on mortgages, rent, and utilities. Need more information about the CARES Act and the PPP? View our CARES Act & PPP Summary via the link below.

 

CARES Act and PPP Summary

 

Fully Forgiven

Funds are provided in the form of loans that will be fully forgiven when used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll).

  • Loan payments will be deferred for six months
  • No collateral or personal guarantees are required
  • Neither the government nor lenders will charge small businesses any fees.

Must Keep Employees on the Payroll—or Rehire Quickly

Forgiveness is based on the employer maintaining or quickly rehiring employees and maintaining salary levels. If full-time headcount declines, or if salaries and wages decrease, forgiveness will be reduced.

All Small Businesses Eligible

Small businesses (including nonprofits) with 500 or fewer employees are eligible. Businesses with more than 500 employees are eligible in certain industries.

Thanks to Our Lending Partners Who Helped Make This Possible

 

"Once again, CEF has come to the rescue. Because of their swift action and personally helping us navigate the complex government requirements [for the PPP], we now have the funds to re-open in 30 days with all nine employees still on board."

Diana Gadison | Executive Director | Early Success Academy