Small Business Equity Fund Program

Program overview

In 2022, the Colorado Green Business Network (CGBN) launched the Small Business Equity Fund (SBEF) grant program to provide funding to small businesses in disproportionately impacted communities interested in implementing energy efficiency upgrades. The Small Business Equity Fund currently focuses on Aurora and Commerce City, but we hope to expand to other communities in the future.

The program's goals are:

• Supporting local small businesses with energy upgrades.
• Promoting equity & resource efficiency.
• Enhancing operational sustainability.

The Small Business Equity Fund offers the following upgrades up to a combined $10,000 per business, for all qualifying projects below:

1. Coverage of 100% of upgrading to LED lighting, including indoor/outdoor and cooler/case lights and other small energy upgrades as applicable, up to a combined $10,000 cap for all eligible projects.
2. Upfront coverage of up to 70% of the cost of commercial refrigeration equipment replacements, up to a combined $10,000 cap for all eligible projects. Costs include new equipment purchase, delivery, installation, and proper recycling of the old unit.

Important: All projects are capped at $10,000 per business and must include a site visit to confirm eligibility. Projects are determined and approved at the discretion of the Colorado Green Business Network.

How the program works

1. Fill out the online SBEF application, linked here in English and Spanish. Applications close on March 1st, 2025. Closing deadline is subject to change without notice depending on the number of new applicants and funding available.
2. Applicants will be assessed on a first come, first serve basis. Funding will be distributed as long as funding is available.
   • Once funding is distributed, remaining applications will be placed on a waitlist, and assessed when the next round of funding becomes available. Given the high number of businesses applying, we may take longer than expected to process your application. We appreciate your patience!
3. Once we receive your business application, a Green Business Specialist will contact you to schedule a technical site visit to confirm eligibility, assess efficiency, and approve upgrades.
4. Businesses will receive up to a combined $10,000 in funds for lighting and equipment replacement upgrades.
5. Businesses must agree with the terms of the program and sign the SBEF Participant Agreement to get final approval for the upgrades.
6. To apply for additional energy saving devices, such as occupancy sensors, thermostats, LED exit signs, advanced power strips, offered in addition to SBEF funding, businesses must sign up in Green Biz Tracker and become a Colorado Green Business Network support level member. CGBN membership is FREE. If you need support registering, contact us. Learn more about the benefits of joining CGBN (in English and Spanish)!
7. Businesses must send us pictures of their working equipment once installed.

Eligibility criteria

For businesses

• The business is located in Aurora or Commerce City.
• The business has been in operation for 2 years or longer.
• The owner resides in Colorado and manages daily operations.
• The business pays its utility bills.
• The business employs 50 or fewer employees.
• The business is registered and in “good standing” with the Colorado Secretary of State.
• The business has an updated registration with the IRS (W-9 form, sample here).

For energy upgrade projects

Important: SBEF will cover efficiency upgrades up to the combined $10,000 project cap per business. The funding cap includes both, LED lighting installations AND refrigeration equipment replacements.

Projects eligible for free replacement:

• Interior/exterior lighting with LEDs. Most non-LED lights qualify (fluorescent, incandescent, CFL, metal halide, etc). Old LEDs do not qualify for replacement.
• Case/cooler lighting with LEDs (same as above).

Please note that for most interior lighting upgrades, the Small Business Equity Fund refers businesses to Xcel’s Small Business Energy Solutions (SBES) program. At this time, Xcel Energy has run out of funding for SBES this year, but they will resume the program in 2025. If you are a Commerce City business with a different energy provider, you will not be eligible for this program. However, we will work with you to determine the best available options for your business moving forward. For updated information on this program, please visit the website of your utility directly.

Projects eligible for upfront coverage of up to 70%:

• Replacement of old refrigerators, freezers, and merchandisers.
• The old equipment must be manufactured in 2008 or earlier, or have an estimated energy savings of 35% or more associated with replacement. We will meter your old equipment to determine eligibility as applicable.
• The new equipment must be Energy Star certified.
• The new equipment must be of similar capacity as the old equipment.
• The old equipment must be properly recycled, and cannot be maintained or utilized in any way.

Please note that additional equipment replacements may be considered on a case by case basis, and require approval.

Who we have helped

To-date, the Small Business Equity Fund has supported 29 eligible small businesses with energy efficiency upgrades. The program has replaced 28 old refrigeration units with 23 Energy Star units, and has installed 49 motion occupancy sensors, 100 interior/exterior, 23 outdoor LED lights, 14 electronically commutated motors, and 4 programmable thermostats, and 2 LED exit signs. In addition, SBEF referred 15 qualifying businesses to Xcel’s Energy Small Business Energy Solutions program for free indoor lighting upgrades, contributing to the replacement of 982 indoor fluorescent tubes with LEDs.

From 2022 to 2024, the program has saved an estimated 263,265 kWh in energy and $37,146 in operating costs. Regarding emissions, energy savings have avoided a total of 186 MTCO2e (metric tons of carbon dioxide equivalent). On average, energy savings accounted for 72%.

By participating in this program, businesses will:

• Lower their utility costs.
• Reduce energy use.
• Decrease harmful emissions.

Program Estimated Savings by Upgrade Type (2022-2024)

Other program successes

The program has removed an estimated 324 ounces (20 lbs) of high-global warming potential refrigerants (R134a, R404, and R12) by properly recycling the old refrigeration equipment. Equipment disposal was in compliance with Section 608 of the Clean Air Act that “prohibits the release of refrigerant [...] substitute such as hydrofluorocarbons (HFCs) during the disposal of an appliance.”

Resources

The Colorado Green Business Network Specialists are here to help! We will provide assistance in English and Spanish as well (hablamos español también). If you need support completing the application or have questions, please contact us:

cdphe.greenbusiness@state.co.us - 720-968-0366

  Small Business Equity Fund application

  Solicitud para el Programa de Financiamiento Equitativo para Pequeñas Empresas

  Colorado Green Business Network

  Colorado Green Business Network - Spanish