NYBDC General Loan Information
NYBDC works in conjunction with its Partner Banks to expand access to capital to small businesses. These banks act as NYBDC’s largest referral source for loan requests. Applicants are welcome to approach NYBDC directly and will be encouraged to discuss the loan request with their bank first. NYBDC is also happy to discuss the transaction with the applicant’s bank on behalf of the applicant.
NYBDC can provide loans to meet most small business financing needs. Below is a summary of NYBDC’s loan parameters as well as a brief description of the different uses of funds we can finance.
|Loan Limits:||$50,000 to $5,000,000|
|Loan Term/Maturity:||Varies according to the useful life of the asset being financed. For example, equipment loans typically carry a maximum maturity of 10 years. If the asset qualifies for financing through the SBA 504 Program then loan maturities are 20 years for real estate and 10 years for equipment.|
|Interest Rate:||Varies according to underwriting. If the asset qualifies for financing through the SBA 504 Loan Program please see current 504 Loan Rates.|
|Down Payment Requirements:||Varies according to underwriting. If the asset qualifies for financing through the SBA 504 Loan Program then a minimum down payment of 10% is required. The down payment requirement increases by 5% if the applicant is a new business or is purchasing an existing business or if property being purchased is considered special use. If the applicant is a new business and the project property is special use then a 20% down payment is required.|
|Collateral Required:||If the asset qualifies for financing through the SBA 504 Program then in most cases the property or equipment being financed is sufficient to secure the loan. For all other loan requests, NYBDC requires collateral to the maximum extent possible up to the loan amount. If business assets do not fully secure the loan, available personal assets of the owners are required as collateral. A loan will not be declined solely on the basis of inadequate collateral.|
Learn More About:
- Working Capital
- Buying a Business
- Refinancing Debt
- Purchasing Equipment & Machinery
- Purchasing Real Estate
- Veteran Loan Program
- Women & Minorities Loan Program
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