The Colorado office of the U.S. Small Business Administration set up a hotline Tuesday to help small- business owners navigate the current credit crisis and market anxiety.
Calls to the regional office in Denver have increased over the last several days, with business owners asking about the long-term prospects of their businesses. The office fielded 25 to 30 calls from business owners in the last week, compared with an average of five to 10 calls.
“(Before), the calls were basic in nature: ‘How do I start a new business?’ Now, they’re more serious in nature: ‘How do I survive this economic challenge that I’m being faced with today?’ ” said Greg Lopez, district director of the SBA’s Colorado office. “People are spending less money. … Before they start thinking about closing their doors, they need to reach out to all the resources that are out there.”
He said the SBA could help small companies re-evaluate their business plans and work with them on how to present their plans and balance sheets to secure a loan.
“We’re still trying to stay proactive,” Lopez said. “Credit is still available through the banks.”
Christopher Chavez, spokesman for the SBA, said some loans for business owners with “marginal” credit histories may not get approved.
“Overall, we really haven’t seen a crunch,” he said. “There have been calls from the service, restaurant and entertainment sectors. They’re seeing a slowdown in customers.”
The SBA was formed in 1953 to counsel and assist small-business owners. It offers a number of programs, including grants and loans.
Lopez came up with the idea to start the hotline Monday. He said the SBA has a team of advisers ready to return messages. The hotline will be checked hourly and calls returned to business owners promptly, he said.
“We felt that the business community was feeling like they didn’t have anyone to turn to,” he said.
The hotline number is 303-844- 2607, extension 401.
Kimberly S. Johnson: 303-954-1088 or kjohnson@denverpost.com
