HEDCO LOAN PROGRAM FUNDS 

For Connecticut Businesses and Non-Profit Organizations

The Partnership Loan Program for Minority- and Women-Owned Small Businesses in Ansonia, Bethany, Branford, Cheshire, Derby, East Haven, Guilford, Hamden, Madison, Milford, New Haven, North Branford, North Haven, Orange, Oxford, Seymour, Shelton, Wallingford, West Haven and Woodbridge

 

HEDCO, Inc., The Community Foundation for Greater New Haven, the City of New Haven, and The Amour Propre Fund are collaborating to provide financial relief and recovery resources to minority-owned and women-owned small businesses (the “Program”). Under the Program, a qualifying small business with 20 or fewer employees (1-20 employees) may apply for a four (4%) percent term loan for up to $25,000 (twenty-five thousand dollars).This $1.5 million Program will be initially allocated to minority-owned and women-owned small businesses based in New Haven and to minority-owned and women-owned businesses located the Valley with a priority to the towns of Ansonia, Bethany, Branford, Cheshire, Derby, East Haven, Guilford, Hamden, Madison, Milford, New Haven, North Branford, North Haven, Orange, Oxford, Seymour, Shelton, Wallingford, West Haven and Woodbridge. The program will be administered and underwritten by HEDCO, Inc.

 

Eligibility:

To be considered for this Program, your small business must:

  • Be a for-profit business with no more than 20 (full or part-time) employees

  • Be a minority-owned and/or women-owned small business (minimum 51% of minority/woman ownership required)

  • Be located in the city of Ansonia, Bethany, Branford, Cheshire, Derby, East Haven, Guilford, Hamden, Madison, Milford, New Haven, North Branford, North Haven, Orange, Oxford, Seymour, Shelton, Wallingford, West Haven or Woodbridge

  • Be in good standing with the Department of Revenue Services (DRS)

  • Have been conducting business for a minimum of one year

Terms & Conditions

  • Term Loan up to $25,000 (loans available from $10,000- $25,000)

  • 4% interest rate

  • First 12 months interest only – 13 month converts into principal and interest payments  

  • No application fee

  • Loans to New Haven small businesses in good standing after 12 months are eligible for forgiveness for up to 16.67% of the original loan amount. 

Central Connecticut Revolving Loan Fund (CCRLF)

Program funded by private investors

 

The CCRLF was established to encourage and stimulate small and mid-sized industries and businesses in their creation and growth. This program will serve businesses in the Central CT Region which includes tows of Berlin, Bristol, Burlington, New Britain, Plainville, Plymouth and Southington.

 

  • Type of Loan: Term and Line of Credit

  • Amount: Up to $150,000

  • Interest Rate: Fixed up to 7%

  • Loan Maturity: Up to 5 years

 

Pre-Requirements to obtain a loan through this program:

 

  1. The business is officially registered as such and operates legally.

  2. The business is physically located and operates in CT.

  3. The business owner has invested their own time or money into the business.

  4. Must be a For-Profit type of business.

  5. Principals with 50% or more ownership must not be more than 60 days delinquent on child support.

 

Minority Business Revolving Loan Fund (MBRLF)

Program funded by the Department of Economic and Community Development (DECD)

 

Statewide funding. The MBRLF provides opportunities for minority-owned and/or women-owned entrepreneurs/business owners around the state of Connecticut to gain access to capital in order to start or grow their business.

 

  • Type of Loan: Term and Line of Credit

  • Amount: From: $10,000 to $100,000

  • Interest Rate: Fixed 4%

  • Loan Maturity: Up to 10 years

 

Pre-Requirements to obtain a loan through this program:

 

  1. The business has been in operation for at least one year and/or is officially registered for at least a year.

  2. The business is physically located and operates in CT.

  3. Must be a For-Profit type of business.

  4. Principal(s) and Business must be current with both, State and Federal Taxes.

  5. Principals with 50% or more ownership must not be more than 60 days delinquent on child support.

 

Non-Profit Revolving Loan Fund (NPRLF)

Program funded by the Hartford Foundation for Public Giving

Provides short-term working capital to certified 501(c)(3) organizations that are in good standing and located in cities and towns served by the Foundation in the Greater Hartford region.

 

  • Type of Loan: Term and Line of Credit

  • Amount: Up to $100,000

  • Interest Rate: Fixed 4%

  • Loan Maturity: Term loans up to 48-months; Line of Credit: 2-year terms (Renewable)

 

Pre-Requirements to obtain a loan through this program:

 

  1. The business is officially registered as such and operates legally.

  2. The business must be a 501(c)(3) certified organization in good standing.

  3. The business must be current with both, State and Federal tax returns.

  4.  The business must have been in operation for at least three (3) years and have demonstrated track record of providing beneficial service to the community.

  5. Business must be physically located in any of the following towns: Andover, Avon, Bloomfield, Bolton, Canton, East Granby, East Hartford, East Windsor, Ellington, Enfield, Farmington, Glastonbury, Granby, Hartford, Hebron, Manchester, Malborough, Newington, Rocky Hill, Simsbury, Sommers, South Windsor, Suffield, Tolland, Vernon, West Hartford, Wethersfield, Windsor and Windsor Locks.

  6. Applicant must generally be ineligible for obtaining credit at a reasonable rate in the amount required.

SBA Microlending Program

Program funded by the Small Business Administration. State Wide Funding

 

The SBA Microloan Program assists women, low income, veteran, minority entrepreneurs and other small businesses in need of financing and/or technical assistance.

 

  • Type of Loan: Term

  • Amount: Up to $50,000

  • Interest Rate: Fixed - starts at 4%

  • Loan Maturity: Up to 6 years

 

Pre-Requirements to obtain a loan through this program:

 

  1. The business is officially registered as such and operates legally.

  2. The business is physically located and operates in CT.

  3. The business owner has invested their own time or money into the business.

  4. The business cannot get funds from any other financial lender.

  5. Must be a For-Profit type of business.

  6. Principals with 50% or more ownership must not be more than 60 days

  7. delinquent on child support.