Kolacny Music Company will shut down in September after opening in 1930 after the pandemic hurt the shop's business model. Racines closed earlier in the pandemic after 36 years of business along with a number of iconic Denver diners like Breakfast King (which first opened in 1975).
Between the rising cost of living, gentrification in parts of the city and a slow pandemic recovery in others, the past few years have been hard ones for small businesses in Denver -- even those that have survived for decades.
Now, the city is launching the Legacy Business program, aimed at specifically protecting and supporting long-time small businesses in Denver. Businesses that qualify would join a legacy business registry run by the city, along with networking and training opportunities, business promotion and other support services. The program is modeled off similar efforts in San Francisco, CA and Austin, TX.
"We knew the need for this program was critical, and that we must be very intentional about how we support these businesses," said Deborah Cameron, Chief Business Development Officer at the Department of Economic Development and Opportunity. "This program is modeled after best practices and we are eager to establish and celebrate the first cohort with the ultimate goal of business preservation for years to come."
According to the eligibility criteria, businesses must:
- Be located in Denver, with a publicly facing physical location. For the 2023 pilot program, businesses must be located in a Neighborhood Equity and Stabilization (NEST) neighborhood. The city plans to widen geographic eligibility in 2024;
- Have operated for at least 10 years (businesses that temporarily closed for less than one year can still be considered);
- Have a gross revenue between $30,000 to $5 million;
- Be independent and locally owned;
- Provide goods or services to local residents (such as manufacturing, retail, arts and entertainment, recreation, food services or accommodations);
- And must be in good standing with the Colorado Secretary of State's office, and compliant with all city, state and federal licensing and taxing authorities. They must be engaged in activities that are legal under Colorado state law.
For the pilot program, the city says it will prioritize businesses' vulnerability to displacement.
In addition to federal and local pandemic recovery money aimed at small businesses, the program is one of a number of city efforts aimed at helping local businesses. The Family Business Preservation Program supports local businesses whose owners want to retire.
The Legacy Business program encourages businesses with social impact, that contribute to local history and culture and that have "positive business practices" such as fair wages and employee ownership.
To apply, business owners need 2022 gross revenue documentation and a good standing certificate from the Colorado Secretary of State. Applications are due on Thursday, Oct. 5 at 5 p.m. The city will host information sessions online on Aug. 29 and Sept. 13. Business owners can also find more information in Spanish and Vietnamese.
Owners can apply online here, and anyone can nominate a business here.
